Don Williams wants to buy a boat five years from today. He will need $40,000. Don wants you to calculate how much he needs today to put in the bank (10% compounded semiannually)to reach his goal in the future.

Name: Don Williams wants to buy a boat five years from today. He will need $40,000. Don wants you to calculate how much he needs today to put in the bank (10% compounded semiannually)to reach his goal in the future.
Brand: Quizplus
Rating: 5.0 (33 reviews)

Question

Quizplus · Accepted Answer

10 periods at 5% = .6139 × $40,000 = $24,556.

Don Williams Wants to Buy a Boat Five Years from Today