nickocasamplonp6mlob
03.03.2021 •
Mathematics
I'm trying to figure out how to set this up and figure out the missing. please help!
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Ответ:
The formula of the future value of annuity ordinary is
Fv=pmt [(1+r)^(n)-1)÷r]
Solve the formula for n
Fv/pmt=(1+r)^(n)-1)÷r
cross multiplication
(Fv/pmt)×r=(1+r)^(n)-1
(Fv/pmt)×r+1=(1+r)^(n)
take the log for both sides
Log ((Fv/pmt)×r+1)=n×log (1+r)
Divide each side by log (1+r)
N=[Log ((Fv/pmt)×r+1)]÷log (1+r)
Now solve to find n
N=log((11,000÷200)×0.02+1)
÷log(1+0.02)
=37.47 years round your answer to get 37 years
Good luck!