Micah needs $18,500 to purchase a boat. How much money will he need to invest today in a savings account earning 3.2% interest,
1 answer:
We have that every quarter, he will get an 0.8% interest rate. We also have that there will be 14*4=56 periods of repayment. We have that by the formula, if there are n periods and x% is the interest rate, the capital is multiplied by (100+x%)^n.
Suppose Micah invests x money. Then, we have that after 14 years, the capital available will be C=
. We have that C=18500$ and hence that 18500=x*1.562. Thus, solving for x we have that x=11841$.
Micah will need to invest only 11841$ in order to pay for his boat; this shows the importance of saving since he earns a lot of money, around 7k $.
Suppose Micah invests x money. Then, we have that after 14 years, the capital available will be C=
Micah will need to invest only 11841$ in order to pay for his boat; this shows the importance of saving since he earns a lot of money, around 7k $.
You might be interested in
Well, how long will it take you to drive 135 miles at 55mph?
at 55 mph, you're doing 55 miles every hour, so we can simply get the quotient of 135/55 and that's how many hours it'll take you to drive 135 miles at that speed.
so, it takes you that long, however, from 3:15 to 5:00pm there are only 45mins + 60mins or 1hr and 45 minutes, namely 1¾ hr.
so 2hrs and 27 minutes is much later than 1¾ hr, so, no dice, you can't arrive at 5pm, actually you'll arrive around 5:42pm.
at 55 mph, you're doing 55 miles every hour, so we can simply get the quotient of 135/55 and that's how many hours it'll take you to drive 135 miles at that speed.
so, it takes you that long, however, from 3:15 to 5:00pm there are only 45mins + 60mins or 1hr and 45 minutes, namely 1¾ hr.
so 2hrs and 27 minutes is much later than 1¾ hr, so, no dice, you can't arrive at 5pm, actually you'll arrive around 5:42pm.