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Suppose you plan to backpack around Europe after you graduate from the university in 4 years (t=4). You have estimated it will cost you $15,000
Suppose you plan to backpack around Europe after you graduate from the university in 4 years (t=4). You have estimated it will cost you $15,000 to pursue your dream. How much do you need to invest into a saving account today (t=0) to reach your goal in 4 years? Assume your saving account earns 6% per annum. Round your answer to three decimal places.
| a. | $13,349.946 | |
| b. | $12,358.959 | |
| c. | $11,881.405 | |
| d. | $13,350.946 | |
| e. | $11,208.872 |
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