Belinda finds a CD with 2.8% APR compounded annually. How much money will Belinda invest in this CD if she wants to have a yearly income of $35,000

Belinda will need to use the simple compounding formula to get the yearly income of $3500.

Present amount = Future amount / (1+interest) ^payments

where

Future amount = $35000

interest = 2.8%

payments = 1

Subsitute all the given values, we will get the present amount

Present amount of CD = $34,046.7