Friday, December 16, 2011

Math Problem[Compound interest]?

Siran borrowed $2,000, $4,000, $5,000, and $5,000 from his dad on September 1 of each of four successive years for college expenses. Siran and his dad agreed to a loan at the rate of 4.25% compounded quarterly. If it is now 1 year from the last day that he borrowed money, how much would Siran owe? For full marks your answer(s) should be rounded to the nearest cent.

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