1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
dsp73
3 years ago
11

If you want to be a millionaire by age 70, and you start saving $50 a month at age 18 (with no previous savings), what expected

rate of return do you need to reach your goal? A. Between 8% and 8.9% B. Between 9% and 9.9% C. Between 10% and 10.9% D. 11% or more
Mathematics
1 answer:
Lisa [10]3 years ago
8 0

9514 1404 393

Answer:

  B. Between 9% and 9.9%

Step-by-step explanation:

The equation for the sum of a series of monthly payments P earning interest rate r compounded monthly for t years is given by ...

  A = P((1 +r/12)^(12t) -1)/(r/12)

The number of years in this case is ...

  70 -18 = 52

We want to find r such that ...

  1,000,000 = 50·12((1 +r/12)^(12·52) -1)/r

  10,000/6 = ((1 +r/12)^624 -1)/r

We can try some values for r to see what may work.

<u>r = 9%</u>

  ((1 +.09/12)^624 -1)/.09 = 1165.60 . . . not quite enough

<u>r = 10%</u>

  ((1 +0.10/12)^624 -1)/0.10 = 176408 . . . > 1666.67

The required interest rate will be between 9% and 10%, option B.

_____

In general, finding the exact interest rate is an iterative process. A financial calculator can do it for you. The result is near 9.86%. The graph shows a solution using a graphing calculator.

You might be interested in
Rosa and her friends are eating out for dinner. the bill was $30.12. they want to leave a 19% tip.
FromTheMoon [43]

Answer:

35.84

Step-by-step explanation:

You would take 19% of 30.12$ by doing 30.12x0.19 to get 5.72.

you then add 5.72 to 30.12 to get your total of 35.84$

7 0
2 years ago
Two burritos cost $14.00. Complete the table to show the cost for 4, 5, and 10 burritos at that rate. Next, find the cost for a
Annette [7]

Answer:

4:28

5:35

10:70

Step-by-step explanation:

8 0
3 years ago
The base of a triangle is 8 1 3 meters and the height of the triangle is the fourth root of 16 meters meters. What is the area o
just olya [345]

Answer:

The area of triangle is 8 \frac{1}{3}\ m^{2}

Step-by-step explanation:

we know that

The area of a triangle is equal to

A=(1/2)bh

we have

b=8 1/3 m

convert to an improper fraction

8 1/3 m=(8*3+1)/3=25/3 m

The fourth root of 16 is equal to 2

\sqrt[4]{16}=(2^{4})^{1/4}=2

so

h=2 m

substitute

A=(1/2)(25/3)2=25/3\ m^{2}

convert to mixed number

25/3=(24/3)+(1/3)=8+1/3=8 \frac{1}{3}\ m^{2}

5 0
3 years ago
A movie, including the previews, is 2 hours and 40
ra1l [238]

Answer:

7/8

Step-by-step explanation:

3 0
3 years ago
How do I explain? I don't get how
Murljashka [212]
Kiddo, you didn't draw the model that why
7 0
3 years ago
Read 2 more answers
Other questions:
  • Kai calculates that he spends 15% of the school day in science class. If he spends 42 minutes in science class, how many minutes
    11·1 answer
  • Type in expanded form. Use parentheses to indicate multiplication. 10^4
    12·2 answers
  • The measures of the angles of LMN are in ratio 2:4:6 what are the measures of the angle
    12·1 answer
  • I appreciate all the help guys! Need help on this one y’all
    5·1 answer
  • What is the equation of the line that passes through the points (9, 2) and (7, -4)?
    15·1 answer
  • Ill give you 21 brainly if you answer this PLEASE HELP
    9·1 answer
  • What is the slope of the line shown below?
    12·1 answer
  • Find sin 0, where is the angle shown.<br> Give an exact value, not a decimal approximation.
    6·1 answer
  • (-32ux+19u^2x^3-12u^6x^7) divided by (-4u^2x^3)
    15·1 answer
  • Click the digit in the ten billions place.<br> 3 0,2 4 2,3 8 6,6 5 1
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!