Ayear ago, you deposited $30,000 into a retirement savings account at a fixed rate of 5.5 percent. today, you could earn a fixed rate of 6.5 percent on a similar type account. however, your rate is fixed and cannot be adjusted. how much less could you have deposited last year if you could have earned a fixed rate of 6.5 percent and still have the same amount as you currently will when you retire 38 years from today?

How much less could you have deposited last year if you could have earned a fixed rate of 6.5 percent and still have the same amount as you currently will when you retire 38 years from toda

PV=29718,30  

Explanation:

Calculte FV with interest 5,5%

F = P ( 1 + i * n )  

FV=30000(1+5,5%)*38  

FV=1202700    

Calculate PV with interest 6,5%

F = P ( 1 + i * n )  

1202700=x(1+6,5%)*38  

PV=29718,30  

answer; the correct answer to the above statement is (true);

was my answer wrong?