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Crank
3 years ago
5

A shipping company borrows $70 million at 5% p.a. compound interest to build a new cruise ship. If it repays the debt after 3 ye

ars, how much interest will the company pay?
Mathematics
1 answer:
dem82 [27]3 years ago
5 0

Answer:

about 11.03 million

Step-by-step explanation:

Use the equation I = P(1+r/100)^n - P (I is the compound interest, P is the principle, r is the rate percent, and n is the number of years):

Substitute the values given:

I = 70,000,000(1 + 5/100)^3 - 70,000,000

Use a calculator to solve and you will get ~11.03 million.

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Answer:

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Since y is 3x,

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On solving we get x as -4

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3 years ago
Tom and his best friend are going to join a gym. Tom saw that Platinum gym has a sale with a one time fee of $90 and a monthly f
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Answer:

<u>Part 1:</u>

For Platinum Gym:

90 + 30x

For Super Fit Gym:

200 + 20x

<u>Part 2:</u>  $270

<u>Part 3:</u>  $320

<u>Part 4:</u>  11 months

<u>Part 5:</u>  See explanation below

Step-by-step explanation:

<u>Part 1:</u>

Let "x" be the number of months:

For Platinum Gym:

90 + 30x

For Super Fit Gym:

200 + 20x

<u>Part 2:</u>

We put x = 6 in platinum gym's equation and get our answer.

90 + 30x

90 + 30(6)

90 + 180

=$270

<u>Part 3:</u>

We put x = 6 into super fit's equation and get our answer.

200 + 20x

200 + 20(6)

200 + 120

=$320

<u>Part 4:</u>

To find the number of months for both gyms to cost same, we need to equate both equations and solve for x:

90 + 30x = 200 + 20x

10x = 110

x = 11

So 11 months

<u>Part 5:</u>

We know for 11 months, they will cost same. Let's check for 10 months and 12 months.

In 10 months:

Platinum = 90 + 30(10) = 390

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Thus, we can see that Platinum Gym is a better deal if you want to get membership for months less than 11 and Super Fit is a better deal if you want to get membership for months greater than 11.

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