mycraft009 mycraft009

04-05-2016
Advanced Placement (AP)

contestada

How much money should be invested now (rounded to the nearest cent), called the initial investment, in a Treasury Bond investment that yields 4.75% per year, compounded monthly for 10 years, if you wish it to be worth $20,000 after 10 years?

Respuesta :

englishhw englishhw

08-05-2016

0.475/12=.00395833
12(10)=120

20,000(1.00395833..)^-120
$12,449.37

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