Tandra's grandparents would like to sell her their second home in 10 years for the present market price of $160,000. Tandra decides to pay them cash in 10 years from her retirement savings, which she plans to grow by $700 every month. She also has saved $2,000 up to now. What interest per year will her account have to earn to have enough money in it to pay her parents?

Tandra's grandparents would like to sell her their second home in 10 years for the present market price of $160,000. Tandra decides to pay them cash in 10 years from her retirement savings, which she plans to grow by $700 every month. She also has saved $2,000 up to now. What interest per year will her account have to earn to have enough money in it to pay her parents?

College Algebra

1st Edition

ISBN:9781938168383

Author:Jay Abramson

Publisher:Jay Abramson

Chapter7: Systems Of Equations And Inequalities

Section7.2: Systems Of Linear Equations: Three Variables

Problem 64SE: You inherit one hundred thousand dollars. You invest it all in three accounts for one year. The...

See similar textbooks

Similar questions

Karl has two years to save $10000 to buy a used car when he graduates. To the nearest dollar, what would his monthly deposits need to be if he invests in an account offering a 4.2% annual interest rate that compounds monthly?
You inherit one hundred thousand dollars. You invest it all in three accounts for one year. The first account pays 4% compounded annually, the second account pays 3% compounded annually, and the third account pays 2% compounded annually. After one year, you earn $3,650 in interest. If you invest five times the money in the account that pays 4% compared to 3%, how much did you invest in each account?
Last year, at Haven's Pond Car Dealership, for a particular model of BMW, Jeep, and Toyota, one could purchase all three cars for a total of $140,000. This year, due to inflation, the same cars would cost $151,830. The cost of the BMW increased by 8%, the Jeep by 5%, and the Toyota by 12%. If the price of last year's Jeep was $7,000 less than the price of last year's BMW, what was the price of each of the three cars last year?
Eduardo noticed that his new car loan papers stated that with a 7.5% simple interest rate, he would pay $6,596.25 in interest over five years. How much did he borrow to pay for his car?