Question

Your parents give you $8000 to buy a car but the car you want costs you $9200. You deposit the $8000 into an account that pays 6% p.a. compounded monthly. How long will it be before you have enough money to buy the car you want?

Answer 1

3 years

Step-by-step explanation:

in three years he will able to buy the car

Answer 2

Receipt from parents $

8000

Cost of car=$9200

deficit money=9200-8000 = 1200

Cl

A=P(1+r/100)n

9200 = 8000 (I +6/100)n

(106/100)n=9200/8000.

1. O6n=1.l5

1.06^n=106^2.5

n = 2.5 yrs

After 2 1/2 yrs he can buy that car

.