Problem P3-4 (similar to)

Question Help

Anthony and Michelle Constantino just got married and received

$26,000

in cash gifts for their wedding. How much will they have on their twenty-fifth anniversary if they place half of this money in a fixed-rate investment earning

10

percent compounded annually? Would the future value be larger or smaller if the compounding period was 6 months? How much more or less would they have earned with this shorter compounding period?Click on the table icon to view the FVIF table

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.If they place half of this money, PV, in a fixed rate investment earning

10

percent compounded annually, the amount they will have, FV, on their twenty-fifth anniversary is

$nothing.

(Round to the nearest cent.)