(Answered) Question - the sunset motel desires to have 100000

Accounting

Question - The sunset motel desires to have $100,000 available for a major renovation in 10 years. Assume it can earn 10% on its one time investment each year. Further assume annual compounding.

A. How much must be invested at time 0?

B. How much interest is earned over the 10 year period?

C. If the investment will earn only 8%, how does this change your answers for A and B?

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