Problem

The total resources T (in billions of dollars) of the Pension Benefit Guaranty Corporation...

The total resources T (in billions of dollars) of the Pension Benefit Guaranty Corporation, the government agency that insures pensions, can be approximated by the equation T = −.26x2 + 3.62x + 30.18, where x is the number of years after 2000. Determine when the total resources are at the given level.

(a) $42.5 billion


(b) $30 billion


(c) When will the Corporation be out of money (T = 0)?

Based on data from the Center on Federal Financial Institutions.

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