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If Maria wants to be a millionaire ($1,000,000) by the time she retires (45 years from now), how much does she need to put into an investment that is paying 8% interest compounded semi-annually? A) $29,308.90 B) $171,198.41 C) $31,327.88 D) $176,996.84

If Maria wants to be a millionaire ($1,000,000) by the time she retires (45 years from now), how much does she need to put into an investment that is paying 8% interest compounded semi-annually? A) $29,308.90 B) $171,198.41 C) $31,327.88 D) $176,996.84

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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If Maria wants to be a millionaire ($1,000,000) by the time she retires (45 years from now), how much does she need to put into an investment that is paying 8% interest compounded semi-annually?

A) $29,308.90  

    B) $171,198.41

   C) $31,327.88  

    D) $176,996.84

Variable Definition of Variable problem Number of Compounding N Periods 1% Annual Interest (as a %) PV Principal or Present Value PMT Amount of each Payment FV Future Value P/Y Number of Payments per Year Number of Compounding C/Y Periods per Year
Transcribed Image Text:Variable Definition of Variable problem Number of Compounding N Periods 1% Annual Interest (as a %) PV Principal or Present Value PMT Amount of each Payment FV Future Value P/Y Number of Payments per Year Number of Compounding C/Y Periods per Year
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