You wish to have $12,500 in 12 years. Find how much you should invest now at 12% interest, compounded quarterly in order to have $12,500, 12 years from now.

Answer 1

PV = ??
Amount = 12500
i = .12/4 = .03
n = 4(12) = 48

PV(1.03)^48 = 12500

PV = 12500/1.03^48 = 3,024.99