Susan Wilson is saving to buy a house in five years. She plans to put 20 percent down at that time, and she believes that she will need $27,000 for the down payment. If Susan can invest in a fund that pays 6.40 percent annual interest, compounded quarterly, how much will she have to invest today to have enough money for the down payment?

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To calculate how much Susan needs to invest today in order to have 27000 for ... View the full answer