What annual investment is required at 8% per year compounded annually to accumulate to $100,000 at the end of 20 years?

P = $ 38,461.54

Equation:

P = A / (1 + rt)

Calculation:

First, converting R percent to r a decimal

r = R/100 = 8%/100 = 0.08 per year,

then, solving our equation

P = 100000 / (1 + (0.08 * 20)) = 38461.538461538

P = $ 38,461.54

The principal investment required to get

a total amount, principal plus interest, of $ 100,000.00

from simple interest

at a rate of 8% per year

for 20 years is $ 38,461.54.