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Nana76 [90]
3 years ago
15

Home heating oil is sold by the gallon. Last winter, the Romano family used 370 gallons of oil at $2.56 per gallon. If the price

increases 9% next year, what will their approximate heating expense be ? Round to the nearest ten dollars .
Mathematics
2 answers:
Ivanshal [37]3 years ago
5 0

Answer:

$1030

Step-by-step explanation:

Hope this helps

belka [17]3 years ago
4 0

Answer:

$1030

Step-by-step explanation:

Last winter:

Total expense = 370 * 2.56 = $947.2

Next year,

price increases 9% per gallon

which means, per gallon cost is $2.7904

Approx. expense = 370 * 2.7904 = $1032.448 which is round down to $1030

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3 years ago
Enos took out a 25-year loan for $135,000 at an APR of 6.0%, compounded monthly, and he is making monthly payments of $869.81. W
Alborosie
Present value = 135000
Monthly interest, i = 0.06/12 = 0.005
Monthly payment, A= 869.81

Future value of loan after 16 years
F=P(1+i)^n      [compound interest formula]
=135000(1+.005)^{16*12}
=351736.652

Future value of payments after 16 years
\frac{A((1+i)^n-1)}{i}
=\frac{869.81((1+0.005)^{16*12}-1)}{0.005}
=279287.456

Balance = future value of loan - future value of payments
=351736.652-279288.456
= $ 72448.20

Note: the exact monthly payment for a 25-year mortgage is
A=\frac{P(i*(1+i)^n)}{(1+i)^n-1}
=\frac{135000(0.005*(1+0.005)^{25*12}}{(1+0.005)^{25*12}-1}
=869.806892

Repeating the previous calculation with this "exact" monthly payment gives
Balance = 72448.197, very close to one of the choices.

So we conclude that the exact value obtained above differs from the answer choices is due to the precision (or lack of it) of the provided data.

The closest choice is therefore <span>$72,449.19</span>
6 0
3 years ago
Read 2 more answers
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