Question

How much would I need to must to pay to give myself an income $10,000 of the end of each of the next 5 year, Given that I can obtain a rate of interest 9%

Answer 1

Future Value (FV)= Present Value (PV) (1 +r)ⁿ

FV =PV (1 + r)ⁿ

=10000 (1 + 9/100)⁵

10000(1 + 0.09)⁵

=$15386.24