Tanja wants to establish an account that will supplement her retirement income beginning 20 years from now. Find the lump sum she must deposit today so that $300,000 will be available at time of retirement, if the interest rate is 8%, compounded quarterly. How much must Tanja invest? P=$ (Round to the nearest cent as needed.)

Elementary Geometry For College Students, 7e
7th Edition
ISBN:9781337614085
Author:Alexander, Daniel C.; Koeberlein, Geralyn M.
Publisher:Alexander, Daniel C.; Koeberlein, Geralyn M.
ChapterP: Preliminary Concepts
SectionP.CT: Test
Problem 1CT
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Tanja wants to establish an account that will supplement her retirement income beginning 20 years from now. Find the lump sum she must deposit today so that $300,000 will be available at time of retirement, if
the interest rate is 8%, compounded quarterly.
How much must Tanja invest?
P = $
(Round to the nearest cent as needed.)
Transcribed Image Text:Tanja wants to establish an account that will supplement her retirement income beginning 20 years from now. Find the lump sum she must deposit today so that $300,000 will be available at time of retirement, if the interest rate is 8%, compounded quarterly. How much must Tanja invest? P = $ (Round to the nearest cent as needed.)
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