Lance Rice has decided to invest $1,200 quarterly for eight years in an ordinary annuity at 4%. The total cash value of the annu

ity at end of year 8 is

Mathematics

1 answer:

Likurg_2 [28]3 years ago

6 0

$\bf \qquad \qquad \textit{Future Value of an ordinary annuity}
\\\\
A=pymnt\left[ \cfrac{\left( 1+\frac{r}{n} \right)^{nt}-1}{\frac{r}{n}} \right]
\\\\$

$\bf \begin{cases}
A=
\begin{array}{llll}
\textit{original amount}\\
\textit{already compounded}
\end{array}\begin{array}{llll}\end{array}\\
pymnt=\textit{periodic payments}\to &1200\\
r=rate\to 4\%\to \frac{4}{100}\to &0.04\\
n=
\begin{array}{llll}
\textit{times it compounds per year}\\
\textit{quarterly, meaning }
\end{array}\to &4\\

t=years\to &8
\end{cases}
\\\\\\
A=1200\left[ \cfrac{\left( 1+\frac{0.04}{4} \right)^{4\cdot 8}-1}{\frac{0.04}{4}} \right]$

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Answer:

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Step-by-step explanation:

Create a system of equations, where h is the amount Hsu makes and a is the amount Alkena makes:

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Solve by substitution by plugging in h + 12,468 as a:

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nata0808 [166]

Answer:

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Step-by-step explanation:

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Let Probability that item are defective = P(D) = 0.20

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Probability of items being repaired from the given defective items = P(R/D) = 0.60

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