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The present value of a sum of money is the amount that must be invested now, at a given rate of interest, to produce the desired sum at a later date. Find the present value of $10,000 if interest is paid at a rate of 10% per year, compounded semiannually, for 2 years. (Round your answer up to the next cent.) $8,549

The present value of a sum of money is the amount that must be invested now, at a given rate of interest, to produce the desired sum at a later date. Find the present value of $10,000 if interest is paid at a rate of 10% per year, compounded semiannually, for 2 years. (Round your answer up to the next cent.) $8,549

Algebra and Trigonometry (MindTap Course List)
Algebra and Trigonometry (MindTap Course List)
4th Edition
ISBN:9781305071742
Author:James Stewart, Lothar Redlin, Saleem Watson
Publisher:James Stewart, Lothar Redlin, Saleem Watson
Chapter13: Sequences And Series
Section13.4: Mathematics Of Finance
Problem 23E
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The present value of a sum of money is the amount that must be invested now, at a given rate of interest, to produce the desired sum at a later date. Find the present value of $10,000 if interest is paid at a rate of 10% per year, compounded semiannually, for 2 years. (Round your answer up to the next cent.) $8,549
Transcribed Image Text:The present value of a sum of money is the amount that must be invested now, at a given rate of interest, to produce the desired sum at a later date. Find the present value of $10,000 if interest is paid at a rate of 10% per year, compounded semiannually, for 2 years. (Round your answer up to the next cent.) $8,549
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