Question

p

Answer 1

hint: you need to find present value of 1000$ per week for 50 years

Answer 2

do u know the formula?

Answer 3

\[\frac{ Pw(1-(1+i)^{-n} }{ i }\]

Answer 4

pw= per week vaue
i=compound rate/weeks in year
n=years times weeks in a year

Answer 5

hope this clarifies

Answer 6

no its pretty confused

Answer 7

still*

Answer 8

how many weeks are there in a year

Answer 9

52

Answer 10

so \[i=\frac{ 0.03 }{ 52 }\]

Answer 11

\[n=50 \times 52\]

Answer 12

now calculate these values and sub it into the formula

Answer 13

see if u work out part A u ll see that u ll have more money than 60000$ so basically if u were to live more than 50 years than option is A better than option B

Answer 14

when i plug in the values it gives me a really awkward value

Answer 15

@ayeshaafzal221

Answer 16

nvm i got 1346407.079..is that right?

Answer 17

Which option would the winner choose if s/he expects to live for another 50 years

Answer 18

yes u are right and winner will choose option A

Answer 19

nw

Answer 20

plz post it as a new thread

Answer 21

yes