Answer:
$13,695.98
Step-by-step explanation:
We can use the continuous compound interest formula to solve:
<em>P = principal amount</em>
<em>r = interest rate (decimal)</em>
<em>t = time (years)</em>
<em />
First, lets change 8% into a decimal:
8% -> -> 0.08
Now, lets plug in the values:
The account balance after 10 years will be $13,695.98
The residual value, which is the farthest from the line of best fit for the table which shows points and their residual values, is 0.7.
<h3>What is residual value?</h3>The residual value is the estimated value which is calculated for the end of the lease terms for a fixed asset.
Points and their residual values are shown in the table. A 3-column table with 5 rows.
The simple regression line can be represented as,
Here α is the constant, β is the slope and <em>e </em>is the residue.
The point which is farthest from the best fit of the line is 3.5. At y=3.5, the value of residue is 0.7.
Thus, the residual value, which is the farthest from the line of best fit for the table which shows points and their residual values, is 0.7.
Learn more about the residual value here;