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You are depositing an amount today that earns 2.5% interest, compounded annually, and your goal is to have $5,000 in 5 years. How much

You are depositing an amount today that earns 2.5% interest, compounded annually, and your goal is to have $5,000 in 5 years. How much must you deposit today to your account? Present value (PV) =future value/(1+ interest rate)# of periods In this case, the number of periods is the number of years.

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