Question

(10000*C)/1.05+(10000*C)/1.05^2…..(10000*C)/1.05^13=100 Find C?

Answer 1

9514 1404 393

Answer:

  C ≈ 0.00106455765168

Step-by-step explanation:

This is the sum of 13 terms of the geometric series that has 10000C/1.05 as the first term and a common ratio of 1/1.05. The sum S is given by ...

  S = a1(1 -r^n)/(1 -r) . . . . a1 is the first term, r is the common ratio

Using the known values, we have ...

  100 = (10000C/1.05)(1 -1.05^-13)/(1 -1/1.05))

  0.01 = C(1 -1.05^-13)/0.05

  C = 0.0005/(1 -1.05^-13) ≈ 0.0005/0.469679

  C ≈ 0.00106455765168