Carol Wants to Invest Money in a 6% CD Account

Multiple Choice

Carol wants to invest money in a 6% CD account that compounds semiannually. Carol would like the account to have a balance of $50,000 five years from now. How much must Carol deposit to accomplish her goal?

A) $35,069.
B) $43,131.
C) $37,205.
D) $35,000.PV = $50,000 x .744409* = $37,205 *PV of $1: n=10; i=3%