3 years ago

Divide. 8.844 ÷ 0.04 = and Divide. 0.48 ÷ 120 =

Mathematics

1 answer:

miskamm [114]3 years ago

6 0

221.1 and .0004 are the answers.

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The future value of $1,000 invested at 8% compounded semiannually for five years is $\bold{\$ 1,480}$

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$\bold{A = P (1 + i )^{n}}$ ----------- equation 1

A = future value

P= principal amount

i = interest rate

n = number of times money is compounded

P = 1000

i = 8 %

$\mathrm{n} = \text { compounding period } \times \text {number of years}$

(Compounding period for semi annually = 2)

$\mathrm{n} = \text { compounding period } \times \text {number of years}$

Dividing “i” by compounding period

$i = \frac{8 \%}{2} = 0.04$

Solving for future value using equation 1

$\begin{array}{l}{A = 1000(1 + 0.04)^{10}} \\\\ {=1000 (1.04)^{10}}\end{array}$

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