You will need to use this formula: Principal = Total ÷ (1 + Rate) ^ <span>years </span><span>Principal = 35,000 / [1.08]^4 </span><span><span><span>Principal = 35,000 / 1.36048896
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Principal =
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25,726.04
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So, you would have to deposit $25,762.04 @ 8 per cent to have 35,000 in four years.