Find the principle needed now to get the given amount; that is find the present value.
$800 after 4 years compunded monthly at 11%.
$60 after 1 3/4 years at 5% compounded continuously.
$800 after 4 years compunded monthly at 11%.
$60 after 1 3/4 years at 5% compounded continuously.
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A = P(1 + r/n)^(nt)
800 = P(1 + .11/12)^(12 * 4)
800 / (1 + .11/12)^48 = P
516.26291162385910938951347417626 = P
$516.26 = P
A = Pe^(rt)
60 = Pe^(.05 * 1.75)
60 / e^.0875 = P
54.973132299052657223226154676307 = P
$54.97 = P
800 = P(1 + .11/12)^(12 * 4)
800 / (1 + .11/12)^48 = P
516.26291162385910938951347417626 = P
$516.26 = P
A = Pe^(rt)
60 = Pe^(.05 * 1.75)
60 / e^.0875 = P
54.973132299052657223226154676307 = P
$54.97 = P