Environmental sustainability concerns have declined steadily over the past three decades. True False
1 answer:
You might be interested in
Answer:
1. Interest compounded annually = $18,049.74
2. Interest compounded quarterly = $18,493.77
3. Interest compounded Monthly = $18,598.16
4. Interest compounded continuously = $18,651.19
Explanation:
First let me state the formula for compound interest:
The future value of a certain amount which is compounded is the total amount (Principal + interest) on the amount of money, after compound interests have been applied, and this is shown below:
FV = PV
where:
FV = Future value
PV = Present value = $7,000
r = interest rate in decimal = 0.07
n = number of compounding periods per year
t = compounding period in years = 14
For interests compounded continuously, the Future value is given as:
FV = PV ×
where
is a mathematical constant which is = 2.7183
Now to calculate each on the compounding periods one after the other:
1. Interest compounded annually:
here n (number of compounding periods annually) = 1
Therefore,
FV = 7,000 ×
FV = 7,000 × = $18,049.74
2. Interest compounded quarterly:
here, n = 3 ( there are 4 quarters in a year)
FV = 7,000 ×
FV = 7,000 × = $18,493.77
3. Interest compounded Monthly:
here n = 12 ( 12 months in a year)
FV = 7,000 ×
FV = 7,000 × = $18,598.16
4. Interests compounded continuously:
FV = PV ×
FV = 7,000 × 2.66446 = $18,651.19
Answer:
value of new lagoon will be $4.05 million
Explanation:
We have given cost = $2.3 million
It is given that new lagoon will be 65% larger
So size of lagoon will be 1+0.65 =1.65
Sizing exponent for this project is given 1.13
So x = 1.13
New lagoon is given by
So new lagoon will be equal to $ million
So value of new lagoon will be $4.05 million