How much would you need to deposit in an account now in order to have $6,000 in the account in 8 years? Assume the account earns 6% interest compounded monthly. (could anyone do this whole problem out?

$3,717

Step-by-step explanation:

Hello, in 1 year there are 12 months.

Let's note I the Initial amount.

So, after 1 month we will get the following, because we compute the interest amount for one month only.

I * ( 1 + 6% * (1/12) )

And the next month, we will have interest of the amount available from previous month so it gives

... and after n months ...

8 years is 8*12 = 96 months. so we are looking for I such that

Thank you.