You Plan to Invest an Amount of Money in Five-Year

Multiple Choice

You plan to invest an amount of money in five-year certificate of deposit (CD) at your bank.The stated interest rate applied to the CD is 12 percent, compounded monthly.How much must you invest if you want the balance in the CD account to be R8,500 in five years?

A) R4,678.82
B) R4,823.13
C) R13,600.00
D) R14,979.90
E) R7,589.29