Bill Casler bought a $6000, 9-month certificate of deposit (CD) that would earn 9.2% annual simple interest. (a) What is the value of the CD when it matures? $ x (b) Three months before the CD was due to mature, Bill needed his CD money, so a friend agreed to lend him money and receive the value of the CD when it matured. If their agreement allowed the friend to earn a 10% annual simple interest return on his loan to Bill, how much did Bill receive from his friend? (Round your answer to the nearest cent.) $ (c) What annual simple interest rate did Bill Casler end up making on his investment? Round your answer to two decimal places. %

Bill Casler bought a $6000, 9-month certificate of deposit (CD) that would earn 9.2% annual simple interest. (a) What is the value of the CD when it matures? $ x (b) Three months before the CD was due to mature, Bill needed his CD money, so a friend agreed to lend him money and receive the value of the CD when it matured. If their agreement allowed the friend to earn a 10% annual simple interest return on his loan to Bill, how much did Bill receive from his friend? (Round your answer to the nearest cent.) $ (c) What annual simple interest rate did Bill Casler end up making on his investment? Round your answer to two decimal places. %

Intermediate Algebra

10th Edition

ISBN:9781285195728

Author:Jerome E. Kaufmann, Karen L. Schwitters

Publisher:Jerome E. Kaufmann, Karen L. Schwitters

Chapter2: Equations, Inequalities, And Problem Solving

Section2.S: Summary

Problem 8S: What interest rate would you need to get to double an investment of 200 in eight years?

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