You have just deposited X dollars in your bank account that pays interest of 6 percent p.a. you discover that at the end of one year you have $19,935 in the account. What was X, that is, the amount of money that you deposited today?

Answer: $18,806.60

Can anyone provide me the steps to solve this problem? I mean I know I can just keep plugging in number to my calculator, but there has to be a formula for this!

1 answer

1.06x = 19,935