Question

Your parents set up a trust fund for you 10 years ago that is now worth R19 671,51. If the fund earned 7% per year, how much did your parents invest?

Answer 1

Present value$=\frac{FV}{(1+r)^n}$

$=\frac{R19671,51}{(1+0.07)^{10}} =R9999.99$