Determine how much money would you need to invest

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Reference no: EM131955916

Question: You have your choice of two investment accounts. Investment A is a 13-year annuity that features end-of- month $1, 650 payments and has an interest rate of 7.8 percent compounded monthly. Investment B is a 7.3 percent continuously compounded lump sum investment, also good for 13 years. How much money would you need to invest in B today for it to be worth as much as Investment A 13 years from now? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM131955916

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