Suppose you wish to have $18500 in 5 years. use the present value formula to find out how much you should invest now at 9% interest, compounded semiannually, in order to have $18,500, 5 years from now. Then calculate the interest.
The possible answers are:
a. 6587.34
b. 8325.00
c. 10175.00
d. 11912.66
I understand how to do the present value formula but after that I don't understand how to calculate the interest, please help!
Already registered? Login
Not Account? Sign up
Enter your email address to reset your password
Back to Login? Click here