Answer:
The initial amount invested by Olivia is $ 27,683.79
Explanation:
The amount of initial investment can be computed using the present value formula given below:
PV=FV*(1+rs/t)^-n*t
FV is the future amount which is $50,000
rs is the rate of interest which is 12% per annum
t is the number of times interest is compounded yearly which is 4 times
n is the number of years the funds were invested i.e 5 years
PV=$50,000*(1+12%/4)^-4*5
PV=$50,000*(1+3%)^-20=$27,683.79
