Question

11. What rate of interest makes deposit of $2000 cam $22 in 91 days? 12. If 45 is earned at 2.5% on a deposit of $4500, how many days are required? 13. What amount of money will accumulate to $545.00 in 95 days at 4.6%? 14. Debt payments of $1200 in five months and $1600 in ten months are scheduled to be due. If interest at 6.5% is to be allowed, what single payment today is required to settle the two scheduled payments? I

compound interest

Answer 1

Compound intrestu Formular A = nt of A = Amount P = Bincipal r=rate interest (decimal) t = = time in years n = number Giveni P=2000$ A= 2000+ 22 = 2022 $ r=? 91 days 19 year) of times interest is compounded per year t 365 na 1 (if not given) other take as given A = P(I trynt A = PliArt 2022 = 2000(1+ vits gl 2022 2000 (113) (+7) gl 1•011 365 (1.011) Hr 1.04485 r=0.04485 r = 4.485% Answer