If is the matrix product
and is the entry of
in the second row and third column, then
That is, the 2nd row, 3rd column entry of is the product of the 2nd row of
and the 3rd column of
.
Manuela wants to have $26,000 in 18 months. About how much should she put into an 18 month CD that earns simple interest of 5.6%
2 answers:
Answer:
Manuela should put $23,985.24 into an 18 month CD.
Step-by-step explanation:
Manuela wants to have $26,000 in 18 months CD that earns simple interest of 5.6% a year calculated semiannually.
Since it is simple interest so in 18 months (1.5 years) it will earn = 5.6 × 1.5 = 8.4%.
Formula for Simple interest
A = P( 1 + rt)
A = amount ( 26,000 )
P = Principal ( we have to find out )
r = Rate of interest in decimal 8.4% ( 0.084 )
t = time ( 1 )
Let the principal amount be x
Now we put the values in formula to find the value of x.
26,000 = x ( 1 + 0.084 × 1 )
26,000 = x ( 1.084 )
x =
x = 23,985.23985 rounded to 23,985.24
Manuela should put $23,985.24 into an 18 month CD.
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