$17,415.08
1) Since in this question we have:
Present Value: ?
Future Value: $20000
rate: 7% compounded every two months
Period: 2 years
2) Let's plug that information in the formula for Compounded Interest, considering that 7% every two months is 0.07 for 6 months.
[tex]\begin{gathered} A=P(1+\frac{r}{n})^{nt} \\ 20,000=P(1+\frac{0.07}{6})^{6\cdot2} \\ 20,000=P(1+0.0116)^{12} \\ 20,000=P(1.0116)^{12} \\ 20,000=1.14843P \\ P\approx17415.08 \end{gathered}[/tex]3) So rounding off to the nearest tenth the present value to be invested is $17,415.08
