Initial Investment

1.  Think of something you want to buy... Home, Vacation, Jewelry, etc

2.  Present Value Formula, will be used to comput how much money you need to star with and now to achieve a desired monetary goal.

3.  In the discussion you wil

   The desired item

     How much it will cost in 12 years

    The interest rate you have chosen to go with from part b.....

4.  Set up a formula and work the computational steps one by one, explaining how each step is worked, especially what the negative exponent means. Explain what the answer means.

5.  Does this formula look familiar to any other formulas you are aware of? If so, which formula(s) and how is it similar?

6.  Incorporate the vocabulary in your work.. Use the words in your own words, no definitions...

power

reciprocal

negative exponent

position

rules of exponents