Question
By the conditions of a will, the sum of P25,000 is left to a girl to be held in trust by her guardian until it amounts to 45,000. when will the girl receive the money if the fund is invested at 8% compounded quarterly?? please show the solution.. thank you:)
Answers
Damon
8%/4 = 2% per quarter
so every three months multiply by 1.02
25 * 1.02^n = 45
1.02^n = 1.8
n log 1.02 = log 1.8
n = 29.68 quarters
or 7.42 years
so every three months multiply by 1.02
25 * 1.02^n = 45
1.02^n = 1.8
n log 1.02 = log 1.8
n = 29.68 quarters
or 7.42 years
Alyanna
wooow..thanks:)
Anonymous
how you get 1.02
thea
F=P*(1+i)^n --->formula
1.02 is from (1+.02)
since 8% compounded Quarterly..
8%/4=0.02
1.02 is from (1+.02)
since 8% compounded Quarterly..
8%/4=0.02
Anonymous
7.42
meraflor rivero
thank you very much.