A company will need 55,000 for a new addition. To meet this goal the company deposits money in an account today that pays 5% interest annual compound quarterly. to meet this goal in five years what would the company need to deposit today?

Answer 1

5 years = 20 quarters at .05/4 = .0125 per quarter

1.0125^20 = 1.282037232

so
55,000/1.282037232 = $ 42,900.47