Molly Scupper wants to attend Clarke University. She will need $90,000 eight years from today. Assume Molly's bank pays 6% interest compounded semiannually. What must Molly deposit today to have $90,000 in eight years? Verify your answer.

Question

Quizplus · Accepted Answer

$90,000 × .6232 = $56,088; Verify by $56,088 × 1.6047 = $90,004.41. Answer is slightly different than 90,000 due to rounding of the table factors

Molly Scupper Wants to Attend Clarke University