Answer to Question #267402 in Financial Math for Ayana Prica

Question

If money is worth 6% compounded bi-monthly (6), find the present value of R 125 700 for 2 years?

Answer 1

compounded bi-monthly , n =6

$PV = \frac{FV}{(1+i)^n}$

$=\frac{R125,700}{(1+0.06)^{6×2}}$

$=\frac{125,700}{(1.06)^{12}}$

$=R62469.05$