Ford Family consists of:
a) 2 adults
The price of ticket for each adult is $18.55. This can be approximated to $19 if we round it to nearest dollar. So the price of ticket for 2 adults will be 2 x 19 = $38
b) 3 children between ages 2 and 10.
Ticket for each child between ages 2 - 10 is $12.59 which can be approximated to $13. So ticket price for 3 children will be 3 x 13 = $39
c) 2 children below the age of 2.
Ticket price for each child is $6.54 which can approximated as $7. So ticket price for 2 children will be 2 x 7 = $14
The estimated total amount due on the family equals = 38 + 39 + 14 = $91
In each of the 3 cases we rounded up the values. So this means the actual amount must be slightly lesser than $91. The actual bill was $87.95 which is close to $91 and lesser than it. Hence we can conclude that $87.95 is the correct amount due for Ford Family.
The amount she should invest today in the annuity is $455,450.40.
<h3>How much should be invested today?</h3>
The first step is to determine the future value of the monthly annuity.
Future value = monthly payment x annuity factor
Annuity factor = {[(1+r)^n] - 1} / r
Where:
- r = interest rate = 3.6/12 = 0.3%
- n = number of periods : 15 x 12 = 180
Future value : 3250 x [(1.003^180) - 1] / 0.003 = 774,171.92
The second step is to determine the present value of this future annuity:
774, 171.92 / (1.036^15) = $455,450.40
To learn more about annuities, please check: brainly.com/question/24108530
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Answer:
-4 1/4
Step-by-step explanation:
