Finding present value in exercise, determine the principal p that must be invested at interest rate r, compounded continously, so that $1,000,000 will be available for retirement in t years.
r = 10%, t = 25

The principal amount is approximately 92296$.  

Step-by-step explanation:

We are given the following in the question:

Amount = $1,000,000

t = 25 years

r = 10%

The principal amount is compounded annually continuously.

Formula:

Putting all the values, we get

Thus, the principal amount is approximately 92296$.

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step-by-step explanation:

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step-by-step explanation: