Find the present value, using the present value formula and a calculator. (Round your answer to the nearest cent.)

Achieve $225,500 at 8.55% compounded continuously for 8 years, 125 days.

1 answer

I do not know present value formula, using head

125/365 = .34247
so t = 8.34247

A = p e^rt

225,500 = p e^.0855 (8.34247)

ln 225,500 = ln p + .71328

ln p = 11.6128

p = $110,502.72