Step 1 :The problem is asking for the present value of an investment that will yield $9500 in 13 years with a continuous interest rate of 9%.
Step 2 :We can use the formula for continuous compounding to find the present value. The formula is \(P = \frac{A}{e^{rt}}\), where P is the present value, A is the future value, r is the interest rate (as a decimal), t is the time in years, and e is the base of the natural logarithm (approximately 2.71828).
Step 3 :Let's plug in the given values into this formula. We have A = 9500, r = 0.09, and t = 13.
Step 4 :Calculating the present value, we get \(P = \frac{9500}{e^{0.09 \times 13}}\).
Step 5 :Computing the above expression, we find that the present value P is approximately 2948.485942022108.
Step 6 :Rounding to the nearest cent, we get \(\boxed{2948.49}\).
Step 7 :So, Mr. and Mrs. Thomas should invest approximately $2948.49 now.