Question

2.- Cristina wishes to make a deposit of $50,000 in a financial institution, in order to continue making ten additional deposits every six months for an identical amount, where the first of them will be made within six months. If the financial institution offers and pays 10% every six months, how much will Cristina withdraw six months after the last deposit?

52

likes
262 views

Answer to a math question 2.- Cristina wishes to make a deposit of $50,000 in a financial institution, in order to continue making ten additional deposits every six months for an identical amount, where the first of them will be made within six months. If the financial institution offers and pays 10% every six months, how much will Cristina withdraw six months after the last deposit?

Expert avatar
Rasheed
4.7
110 Answers
To find out how much Cristina will withdraw six months after the last deposit, we need to calculate the future value of all deposits first.

The formula to calculate the future value of an ordinary annuity is:
FV = P \times \left( \dfrac{(1 + r)^n - 1}{r} \right)
where:
- FV is the future value of the annuity
- P is the amount of each deposit
- r is the interest rate per period
- n is the total number of periods

Given:
- P = $50,000
- r = 10\% = 0.10 (interest rate per six months)
- n = 20 (10 deposits every six months for a total of 20 periods)

Plugging in the values, we get:
FV = $50,000 \times \left( \dfrac{(1 + 0.10)^{20} - 1}{0.10} \right)
FV = $50,000 \times \left( \dfrac{(1.10)^{20} - 1}{0.10} \right)

Now, we calculate the future value:
FV = $50,000 \times \left( \dfrac{6.727499 - 1}{0.10} \right)
FV = $50,000 \times 57.27499
FV = $2,863,749.50

Therefore, Cristina will be able to withdraw $2,863,749.50 six months after the last deposit.

\boxed{Answer: $2,863,749.50}

Frequently asked questions (FAQs)
Math question: What is the average value of the function f(x) = 3x^2 + 4x - 2 in the interval [0, 7]?
+
What is the dot product of vectors A = [2, 4, -1] and B = [3, -5, 2]?
+
What is the simplified form of 3 2/5 divided by 4 3/8?
+
New questions in Mathematics
A circular park has a diameter of 150ft. A circular fence is to be placed on the edge of this park. Calculate the cost of fencing this park if the rate charged is $7 per foot. Use π = 3.14.
A juice shop prepares assorted juices, for their juices they have 5 different types of fruit. How many types of assortments can be prepared in total, if it is considered an assortment to a juice made with two or more fruits?
4X^2 25
Answer the following questions regarding the expression below. 0.1 (a) Write the number as a fraction.
Identify a pattern in the list of numbers.Then use this pattern to find the next number. 37,31,25,19,13
How long will it take for $900 to become $5000 at an annual rate of 11.15% compounded bimonthly?
4. Show that if n is any integer, then n^2 3n 5 is an odd integer
A force of 750 pounds compresses a spring 3 inches from its natural length, which is 15 inches. What will be the work done to compress it 3 inches more?
solve for x 50x+ 120 (176-x)= 17340
2x+4x=
suppose random variable x follows poisson distribution with expected value 3. what is variance of x?
19) If the temperature of -8°C decreases by 12°C, how much will it be? a)-20°C -4°C c) 4°C d) 20°C
A vaccine has a 90% probability of being effective in preventing a certain disease. The probability of getting the disease if a person is not vaccinated is 50%. In a certain geographic region, 60% of the people get vaccinated. If a person is selected at random from this region, find the probability that he or she will contract the disease. (4 Points)
On+January+10+2023+the+CONSTRUCTORA+DEL+ORIENTE+SAC+company+acquires+land+to+develop+a+real estate+project%2C+which+prev%C3% A9+enable+50+lots+for+commercial+use+valued+in+S%2F+50%2C000.00+each+one%2C+the+company+has+as+a+business+model+generate+ cash+flow+through%C3%A9s+of+the+rental%2C+so+47%2C+of+the+50+enabled+lots+are+planned to lease+47%2C+and+ the+rest+will be%C3%A1n+used+by+the+company+for+management%C3%B3n+and+land+control
Translate to an equation and solve. Let x be the unknown number: What number is 52% of 81.
A factory produces glass for windows. The thickness X of an arbitrarily selected pane of glass is assumed to be Normally distributed with expectation μ = 4.10 and standard deviation σ = 0.04. Expectation and Standard deviation is measured in millimeters. What is the probability that an arbitrary route has a thickness less than 4.00 mm?
Farm Grown, Inc., produces cases of perishable food products. Each case contains an assortment of vegetables and other farm products. Each case costs $5 and sells for $15. If there are any not sold by the end of the day, they are sold to a large food processing company for $3 a case. The probability that daily demand will be 100 cases is 0.30, the probability that daily demand will be 200 cases is 0.40, and the probability that daily demand will be 300 cases is 0.30. Farm Grown has a policy of always satisfying customer demands. If its own supply of cases is less than the demand, it buys the necessary vegetables from a competitor. The estimated cost of doing this is $16 per case. (a) Draw a decision table for this problem (b) What do you recommend?
The average weekly earnings in the leisure and hospitality industry group for a re‐ cent year was $273. A random sample of 40 workers showed weekly average ear‐ nings of $285 with the population standard deviation equal to 58. At the 0.05 level of significance can it be concluded that the mean differs from $273? Find a 95% con‐ fidence interval for the weekly earnings and show that it supports the results of the hypothesis test.
Convert (324)𝑓𝑖𝑣𝑒 into base-ten
In a cheese factory, one pie costs 3800 denars. The fixed ones costs are 1,200,000 denars, and variable costs are 2,500 denars per pie. To encounter: a) income functions. profit and costs; b) the break-even point and profit and loss intervals.