Problema Solution

Determine the present value P you must invest to have the future value A at simple interest rate r after time t.

A = 5000,r = 14%, t = 39

Answer provided by our tutors

in this case t=39 weeks =9.1 almost 9 months =3/4 yrs 

P = principal amount (the initial amount you borrow or deposit)

r  = annual rate of interest (as a decimal)

t  = number of years the amount is deposited or borrowed for.

A = amount of money accumulated after n years, including interest.

n  =  number of times the interest is compounded per year

a=p(1+r/n)^nt

5000=p(1+0.14)^3/4

p= 4532.01