Answered step by step
Verified Expert Solution
Question
1 Approved Answer
CAN YOU PLEASE SHOW ME HOW TO SOLVE THIS IN EXCEL AND NOT OTHER FORMULAS? THNAK YOU. A husband and wife want to accumulate an
CAN YOU PLEASE SHOW ME HOW TO SOLVE THIS IN EXCEL AND NOT OTHER FORMULAS? THNAK YOU.
A husband and wife want to accumulate an investment worth $200,000 by the end of year 18. | |||||||||
The money will be needed to send their baby daughter to college. How much must they | |||||||||
invest now to accumulate their goal assuming they can earn an average of 7% per year? | |||||||||
Future value | $200,000 | ||||||||
Rate | 7% | ||||||||
Years | 18 | ||||||||
Present value | <== Use the PV function to determine how much to invest today. | ||||||||
What if they can invest $2,000 per year for each of the 18 years, how much would they need | |||||||||
to invest today? | |||||||||
Present value | <== Use the PV function to determine how much to invest today. | ||||||||
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started