What is the PV of an ordinary annuity with 10 payments of $2,700 if the appropriate interest rate is 5.5%? Group of answer choic
1 answer:
Answer:
The PV of an ordinary annuity with 10 payments of $2,700 if the appropriate interest rate is 5.5% is $20,352.
Step-by-step explanation:
P = PMT [(1 - (1 / (1 + r))) / r]
= 2,700 [(1 - (1 / (1 + 0.055))) / 0.05]
= 2,700 [(1 - (1 / (1 + 0.055))) / 0.05]
= 2,700 [(1 - (1 / (1.708)) / 0.05]
= 2,700 [(1 - 0.58)) / 0.05]
= 2,700 [(0.41457) / 0.05]
= 2,700(7.53)
=$ 20,352
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Answer:
Gina is 12 years old
Step-by-step explanation:
First, we will have to write these statements mathematically and then solve.
Let Gina's age be x, let Gina's brother's age be y and let Gina's sister's age be z.
The second statement"Gina's older sister is twice Gina's age" can be mathematically written as: z =2 x ---------------------------(1)
The next statement "Gina's brother is half Gina's age" can be mathematically written as y = ---------------------------------------(2)
Then the next statement "the sum of their ages is 42" can be mathematically written as: x + y + z = 42 ----------------------------(3)
We can now proceed to solve;
Substitute equation (1) and equation(2) into equation (3)
x + y + z = 42
x + + 2x = 42
Multiply through by 2
2x + x + 4x = 84
7x = 84
Divide both-side of the equation by 7
=
x = 12
Therefore, Gina is 12 years old