Question

You need $66214 in 10 years. If you can earn 0.27 percent per month, how much will you have to deposit today (in $)?

Answer 1

Monthly interest rate	0.27%
Total years	10
Total Months	120
Amount required	66,214
Deposit amount	P
Amount=	Prinicipal * (1+r)^t
66,214	P * (1+0.27%)^120
66,214	P * 1.38204
Initial deposit amount=	66214/1.38204
Initial deposit amount=	47,910