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anonymous
 one year ago
You decide to put $100 in a savings account to save for a $3,000 down payment on a new car. If the account has an interest rate of 2% per year and is compounded monthly, how long does it take you to earn $3,000 without depositing any additional funds?
anonymous
 one year ago
You decide to put $100 in a savings account to save for a $3,000 down payment on a new car. If the account has an interest rate of 2% per year and is compounded monthly, how long does it take you to earn $3,000 without depositing any additional funds?

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anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Do you know the compound interest formula from your course?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0OK. It looks like we want a(t) to be $3000 cause that's how much needs to be saved. p is the present value. How much is that?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0OH!! In your previous question, the right hand side of the equation was NEGATIVE, so the correct answer is the negative number. Sorry about that.

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0The interest rate (r) is a little bit tricky. The question says the nominal yearly interest rate is 2% but it is compounded monthly. Do you know how to get the interest rate in this case?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Well, it's 2% per year, but for a month it's going to be 1/12 as much. What do you think?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0OK. so r = 2% /12. Have to convert that to a decimal. What do you get?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Right. But you still have to divide by 12 to get r.

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1\[A=P(1+\frac{r}{n})^{nt}\] \[3000=100(1+\frac{.02}{12})^{12t}\]

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0That's it. What's r then?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0r is not 0.16667. Try it again

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Remember, we already established that r = 0.02/12. What do you get?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Great. Now out that value of r into the compound interest formula and what do you get?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Perhaps you'd like to take over @Mertsj

anonymous
 one year ago
Best ResponseYou've already chosen the best response.03000=(100.16667)^12t

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0What's 100 + 0.0016667 ?

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1Continuing: \[\frac{3000}{100}=\frac{100(1+\frac{.02}{12})^{12t}}{100}\]

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Great. So you have\[3000 = 100.0016667^{12t}\]Now take the log of both sides

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1\[300=(1.01666666)^{12t}\]

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1\[\log_{10}300=12t \log_{10}1.0166666666 \]

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0I'm sorry @BellaBlue77 . Our work is being hijacked. I'm out. Good luck.

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1\[\frac{\log_{10}300}{\log_{10}1.016666666}=12t \]

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0170.202 years 14.3129 years 171.755 years 168.354 years

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0That's not an answer choice

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0@heretohelpalways @ganeshie8

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1\[\frac{\log_{10}30}{\log_{10}1.0166666666}=12t \]

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1you have to take the log of those numbers.

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1Do you see that it says log 30?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.01.47712125472 i mean

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0would 168.354 years be the answer?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0I know :( But thats not an answer choice. 170.202 years 14.3129 years 171.755 years 168.354 years see?

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0Oh well, let's call it a day loll

anonymous
 one year ago
Best ResponseYou've already chosen the best response.0If you find the answer, message me pleae, I'll be back tommorw

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1Starting over: \[3000=100(1+\frac{.02}{12})^{12t}\] \[30=(1+.00166666666)^{12t}\]

Mertsj
 one year ago
Best ResponseYou've already chosen the best response.1\[\frac{\log_{10}30}{\log_{10}1.00166666666666}=12t \]
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