The answer is 67.5. The other part I do not understand.
Answer:40.9107
Step-by-step explanation:
I Am Pretty sure that is it the question did not make sense though
Answer:
$1,021,337.13
Step-by-step explanation:
The sum of present values of medical expenses is ...
30,000/1.05 +30,000(1.0513)/1.05^2 +30,000(1.0513^2)/1.05^3 +...
So, the series has an initial value of 30,000/1.05 and a common ratio of 1.0513/1.05. Its sum is given by ...
S = a(r^n -1)/(r -1)
where a = 30,000/1.05, n = 35, r = 1.0513/1.05.
Filling in these values and doing the arithmetic, we get ...
S = $1,021,337.13
You need an initial deposit of $1,021,337.13 to cover rising expenses for 35 years.
