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irina1246 [14]
4 years ago
13

Suppose Adam wants to have $750,000 in his IRA at the end of 30 years. He decides to invest in an annuity paying 6% interest, co

mpounded annually. What does he have to contribute each year to reach this goal?
Mathematics
1 answer:
OLga [1]4 years ago
6 0

Answer:

  $9486.68

Step-by-step explanation:

The future value of a annuity formula can be used:

  FV = P((1+r)^n -1)/r

  750000 = P(1.06^30 -1)/0.06

  P = 750000(.06)/(1.06^30 -1) = 9486.68

Adam has to contribute $9,486.68 each year to reach his goal.

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ANSWER

\frac{5( \sqrt{11}  +  \sqrt{3} )} {8}

EXPLANATION

The given rational function is

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When we rationalize we obtain:

\frac{5( \sqrt{11}  +  \sqrt{3} )}{(\sqrt{11}  - \sqrt{3} )( \sqrt{11}  +  \sqrt{3} )}

The denominator is now a difference of two squares:

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\frac{5( \sqrt{11}  +  \sqrt{3} )}{( \sqrt{11}) ^{2}    -  ( \sqrt{3}) ^{2}  )}

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\frac{5( \sqrt{11}  +  \sqrt{3} )} {8}

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\frac{5 }  {8}\sqrt{11}  + \frac{5 }  {8}\sqrt{3}

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