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Kipish [7]
3 years ago
12

A firm buys 12 file cabinets at $140 each, with payment in full due in 90 days. How much must the firm deposit now to have enoug

h to pay the bill if money is worth 3% simple interest per year? Use 360 days in a year.
Mathematics
1 answer:
anyanavicka [17]3 years ago
3 0

Answer:

firm deposit  is $1667.50

Step-by-step explanation:

given data

buys 12 file = $140

time = 90 days

interest = 3%

solution

we get here return on money over 90 day period  is  

we know Return on 360 days = 3%

return on money over 90 day = 3% ÷ 4  = 0.75%

we consider here required amount = x

so

$140 × 12 = x (1+0.0075)

x  =  \frac{1680}{1+0.0075}

x = 1667.50

so firm deposit  is $1667.50

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