3 years ago

WILL MARK YOU BRAINLIEST

Mathematics

1 answer:

Irina-Kira [14]3 years ago

5 0

Answer:

it is upside down type it in the coments

Step-by-step explanation:

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2 years ago

What initial investment must be made to accumulate $60000 in 17 years if the money is invested in a mutual fund that pays 12% an

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$7881.18

Step-by-step explanation:

Let the initial Investment be $P_{0}$ . The Interest is compounded on a monthly basis at 12% annual interest rate. After 17 years, the Investment amounts to $60,000.

As the annual interest rate is 12%, the monthly interest rate is 1%.

Since this is a compound interest problem, the total amount can be modeled as follows: $P(t)=P_{0}(1+\frac{i}{100})^{t}$

Here $i$ is the interest rate, i.e $1$ , and t is the number of time periods, i.e $17\textrm{ years x }12\frac{\textrm{months}}{\textrm{year}}$ = $204\textrm{ months}$

$60,000=P_{0}\textrm{ x }(\frac{101}{100})^{204}$

$P_{0}=7881.18$

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3 years ago