A small business owner is applying for a small business loan and has been approved for a $50,000 loan with 5.25% annual interest. The first loan is a simple interest rate, the second loan compounds interest quarterly, and the third loan compounds interest continuously. The small business owner plans to pay off the loan in 3 years and 8 months.

Part A: Determine the total value of the loan with the simple interest. Show all work and round your answer to the nearest hundredth.

Part B: Determine the total value of the loan with the quarterly compounded interest. Show all work and round your answer to the nearest hundredth.

Part C: Determine the total value of the loan with the continuously compounded interest. Show all work and round your answer to the nearest hundredth.

Part D: Using the values from Parts A, B, and C, explain which loan option is the best choice for the small business owner.

Answers

Answer 1

Part A: The total value of the loan with simple interest is $59,660.50.

Part B: The total value of the loan with quarterly compounded interest is $60,357.91.

Part C: The total value of the loan with continuously compounded interest is $60,441.82.

Part D: The best choice for the small business owner is the loan with simple interest, as it has the lowest total value and thus the lowest cost to repay.

Part A:

To calculate the total value of the loan with simple interest, we can use the formula:

[tex]Total value = Principal \times (1 + interest rate \times time)[/tex]

Where,

Principal = $50,000

Interest rate = 5.25% = 0.0525

Time = 3 years and 8 months = 3.67 years.

[tex]Total $ value = $50,000 \times (1 + 0.0525 \times 3.67) = $59,660.50[/tex]

Therefore, the total value of the loan with simple interest is $59,660.50.

Part B:

To calculate the total value of the loan with quarterly compounded interest, we can use the formula:

[tex]Total value = Principal \times (1 + (interest rate / n))^{(n \times time) }[/tex]

Where,

Principal = $50,000

Interest rate = 5.25% = 0.0525

Time = 3 years and 8 months = 3.67 years

n = 4 (since interest compounds quarterly)

[tex]Total value = $50,000 \times (1 + (0.0525 / 4))^{(4 \times3.67) } = $60,357.91[/tex]

Therefore, the total value of the loan with quarterly compounded interest is $60,357.91.

Part C:

To calculate the total value of the loan with continuously compounded interest, we can use the formula:

[tex]Total value = Principal \times e^{(interest rate \times time)}[/tex]

Where,

Principal = $50,000

Interest rate = 5.25% = 0.0525

Time = 3 years and 8 months = 3.67 years

[tex]Total value = $50,000 \times e^{(0.0525 \times 3.67) } = $60,441.82[/tex]

Therefore, the total value of the loan with continuously compounded interest is $60,441.82.

Part D:

From the calculations in Parts A, B, and C, we can see that the loan with continuously compounded interest has the highest total value of $60,441.82.

This is followed by the loan with quarterly compounded interest with a total value of $60,357.91, and finally the loan with simple interest with a total value of $59,660.50.

Therefore, the best choice for the small business owner would be to take the loan with simple interest, as it has the lowest total value and thus the lowest cost to repay.

However, if the small business owner is willing to pay a higher cost for the loan, they could consider the loan with quarterly or continuously compounded interest, which have higher total values.

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Related Questions

A wall 24 inches is conrete, 5 inches is brick, and 9 inches is limestone. What fracrion of the wall is concrete?

Answers

The fraction of the wall that is concrete is 12/19

What is a fraction?

A fraction is a mathematical representation of a part of a whole or a division of one quantity by another. It consists of two parts: a numerator and a denominator, separated by a horizontal line called a fraction bar or a division slash.

The numerator represents the number of parts or the quantity being considered, while the denominator represents the total number of equal parts or the divisor. The numerator and denominator are both whole numbers or integers.

In this problem, to determine the fraction that is concrete, we have to know the total length of the wall.

length of wall = 24 + 5 + 9 = 38 inches

The fraction of the wall that is concrete = 24 / 38 = 12/19

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Help please (elementary stats)

Answers

The average weight of a sample of objects is 94.83 pounds and the spread of the weights around the mean is measured by the sample standard deviation, which is 31.16 pounds.

The given data shows the weights (in pounds) of adult wild mountain lions captured and released for the first time in the San Andres Mountains.

(a) Using a calculator with mean and sample standard deviation keys, we can find the sample mean weight x and sample standard deviation s.

[tex]x = (70 + 107 + 130 + 128 + 60 + 64) / 6 = 94.83 \pounds\\\\s = \sqrt{\frac{(70 - 94.83)^2 + (107 - 94.83)^2 + ... + (64 - 94.83)^2} {5}}[/tex]

= 31.16 pounds

Therefore, the sample mean weight x is 94.83 pounds and the sample standard deviation s is 31.16 pounds.

(b) To find a 75% confidence interval for the population average weight u of all adult mountain lions in the specified region, we can use the formula:

CI = x ± t*(s/√n)

where CI is the confidence interval, x is the sample mean weight, t is the t-score for the desired confidence level (75% in this case), s is the sample standard deviation, and n is the sample size (6 in this case).

From the t-table, the t-score for a 75% confidence level with 5 degrees of freedom is 2.015.

Plugging in the values, we get:

CI = 94.83 ± 2.015*(31.16/√6) = (63.6 pounds, 126.1 pounds)

Therefore, we can be 75% confident that the true population average weight of all adult mountain lions in the specified region is between 63.6 pounds and 126.1 pounds.

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5) Use the figure to answer the
following question.
Which expression can be used to find the volume of the figure below?
2 cm
Choose 1 answer:
A
B
8 cm
7 cm 1 cm
6 cm
cm x 7 cm x 1 cm) + (1 cm x 6 cm x 8 cm)
cm x 8 cm x 7 cm) + (1 cm x 6 cm x 8 cm)
cm x 7 cm) + (8 cm x 6 cm)
Option A above
O Option B above
O Option C above
*
1 point

Answers

An expression that can be used to find the volume of the figure include the following: B. (2 cm × 8 cm × 7 cm) + (1 cm × 6 cm × 8 cm).

How to calculate the volume of a rectangular prism?

In Mathematics and Geometry, the volume of a rectangular prism can be calculated by using the following formula:

Volume of a rectangular prism = L × W × H

Where:

L represents the length of a rectangular prism.W represents the width of a rectangular prism.H represents the height of a rectangular prism.

By substituting the given dimensions (parameters) into the formula for the volume of a rectangular prism, we have the following;

Volume of figure = (2 cm × 8 cm × 7 cm) + (1 cm × 6 cm × 8 cm)

Volume of figure = 112 cm³ + 48 cm³

Volume of figure = 160 cm³

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The density of milk is 1.03g/cm3. What is the mass of 405 cm3 of milk?

Answers

The mass of the 405 cm³ milk is 417.15 grams.

What is the mass of the milk?

Density is simply  the mass of a substance per unit volume.

It is expressed mathematically as;

p = m / v

Where m is mass and v is volume.

Given that:

Density of the milk p =  1.03g/cm³

Volume of the milk v = 405 cm³

Mass m = ?

Plug the values into the above formula and solve for mass m.

p = m / v

m = pv

m = 1.03g/cm³ × 405 cm³

m = 417.15 g

Therefore, the value of the mass is 417.15 grams.

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3. In the right triangle below, what is the measure of RST?
A 10°
B. 30°
C. 60°
D. 90°

Answers

The measure of angle RST is 90°.

option D.

What is the measure of RST?

The measure of angle RST is calculated by applying the principle of a right angle triangle as shown below;

A right-angled triangle, also known as a right triangle, is a triangle in which one of the angles measures exactly 90 degrees. The side opposite the right angle is called the hypotenuse, while the other two sides are known as the legs.

From the given diagram, the measure of angle RST is calculated as follows;

∠S = 90 (since this angle has a symbol of right angle)

So the other two angles, R and T are complementary.

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Sid was given a bag with 6 calculators and 5 staplers. If Sid randomly picks one item out of the bag, what is the probability that he selects a calculator? Give your answer as a reduced fraction.​

Answers

The reduced fraction is 6/11

(22-26)²+(34-26)²+(30-26)²+(14-26)²+(30-26)[tex]\frac{x}{y}[/tex]5

Answers

Answer:

[tex]20x+240y/y[/tex]

Step-by-step explanation:

1. Subtract the numbers

2. Evaluate the exponents

3. Subtract the numbers, again

4. Have a great day and thx for your inquiry :)

Plot and connect the points A(4, 6), B(4, 0), C(1, -3), and D(1, 3), and find the area of the parallelogram formed.

Answers

Answer:

18 square units

Step-by-step explanation:

The parallelogram has been plotted in the attached figure

The area of a parallelogram is b x h

where b is one side and h is the vertical distance between the two bases

In the figure, we see that base = AB is parallel to the y-axis

This means the y-coordinates of A and B are the same and the distance is obtained by taking the absolute difference between the x-coordinates of A and B

b = |x1 - 2| = |6 - 0| = 6

The height h is a perpendicular line from point D(1, 3) to the base which touches the base at point E

Since this line is horizontal to the x-axis in the figure, the y coordinates of the endpoints of the line are the same i.e y1 =3 and y2 = 3

Therefore h = absolute difference between the x coordinates
= |1-4| = 3

Given b = 6, h = 3

area = 6x 3 = 18 square units

8 1/2 x 4 1/4 = Answer

Answers

Answer:

Answer is 36 1/8

Step-by-step explanation:

8x4 is 36. 1/2 x 1/4 is 1/8

Answer:

36 1/8

Step-by-step explanation:

8 1/2 = 17/2 x 17/4 = 289/8 = 36.125 = 36 1/8

PLEASE HELP

Angle RST is its own complement. What is the
measure of the angle that is supplementary to angle RST?

Answers

the measure of the angle that is supplementary to angle RST is 90 degrees

How to determine the angle

To determine the value of the angle, we need to know the following;

Complementary angles are defined as a pair of  angles whose sum is equal to 90 degreesThese angles are mostly right -anglesSupplementary angles are defined as a pair of angles whose sum is equal to 180 degreesthese angles are mostly on a straight line

From the information given, we have that;

Angle RST is its own complement

Then, angle RST =90 degrees

The supplementary angle should be y

Then,

RST + y= 180

substitute the values

y = 180 - 90

subtract the values

y= 90 degrees

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Write the function in terms of its cofunction. Assume that any angle in which an unknown appears is an acute angle.
tan (0+24°)

A. cot (66⁰-0)

B. cot (156⁰-0)

C. tan (66⁰-0)

D. cot (114⁰-0)

Answers

The given function is tan (0+24°) and its cofunction can be expressed as ;tan (0+24°)=  tan (66⁰-0)

Therefore tan (0+24°) in terms of its cofunctions, we need to use the formulas for sin and cos of complementary angles.

The complementary angle of 24° is 66° because 24° + 66° = 90°.

Using the formula for the sum of two angles, we can then substitute these values to get:

tan (0+24°)=  tan (66⁰-0)

Therefore, expression of tan (0+24°)in terms of its cofunctions is tan (0+24°) =  tan (66⁰-0)

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in how many different ways can 7 floats line up for the homecoming parade

Answers

Step-by-step explanation:

7!  =  7 P 7 = 5040 ways

7 choices for first

6 choices for 2nd

5 choices for 3rd

4 chouces for 4th

3

2

1

           7 x 6 x 5 x 4 x 3 x 2 x 1 = 7!

16 Bob is at a Carnival and will spin each spinner one time.
AB
4
1966
3
5
2
6 1
16
2
5
What is the probability that the spinner on the left will land on a 6 and the
spinner on the right will land on a shaded area?
3
4
213112
17 The equation 3x + 4 = 16 is modeled below:

Answers

The probability that the spinner on the left will land on a 6 and the spinner on the right will land on a shaded area will be 1/9. The correct option is A.

Probability is a branch of mathematics that deals with the measurement and analysis of uncertainty. In other words, probability is the measure of the likelihood or chance that a particular event will occur.

The probability that the spinner on the left will land on a 6 is calculated as,

P₁ = 2 / 12

The spinner on the right will land in a shaded area is,

P₂ = 8 / 12

The total probability will be,

P =  ( 2 / 12 ) x ( 8 / 12 )

P = 1 / 9

Therefore, the probability that the spinner on the left will land on a 6 and the spinner on the right will land on a shaded area will be 1/9. The correct option is A.

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Please help really urgent

Answers

Answer:

0.0909

Step-by-step explanation:

4 blue + 5 red + 3 black = 12 chips in total.

p=probability

1st draw:

p (blue) = 4/12

there are now 11 chips in the bag, 4-1 =3 are blue.

2nd draw?

p (blue) = 3/11

probability of pulling one blue chip followed by another blue chip is:

(4/12) X (3/11) = (4X3)/12X11)

= (12)/(132)

= 1/11

0.0909

Tina has volunteered at the pet shelter 4 more times than Kai. Tina has volunteered 16
times Which equation represents this situation?
A. 16+k-4
B. 16k-4
C. K+4=16
D. 4K=16

Answers

The correct answer is option C: [tex]\(k + 4 = 16\).[/tex] This linear equation represents the relationship between Tina and Kai's volunteer times.

To represent the given situation, the equation that correctly represents the relationship between Tina's volunteer times (Tina = 16) and Kai's volunteer times (Kai = k) is:

[tex]\[Tina = Kai + 4\][/tex]

In this equation, Tina's volunteer times are represented by "Tina," and Kai's volunteer times are represented by "Kai." Since Tina has volunteered 4 more times than Kai, we add 4 to Kai's volunteer times to get the total number of times Tina has volunteered.

Substituting the given values, we have:

[tex]\[16 = k + 4\][/tex]

This equation represents the fact that Tina has volunteered [tex]16[/tex] times, which is equal to Kai's volunteer times (k) plus the additional 4 times that Tina volunteered.

Simplifying the equation:

[tex]\[k + 4 = 16\][/tex]

This equation is equivalent to the original equation and represents the relationship between Tina and Kai's volunteer times. Hence, the correct answer is option C: [tex]\(k + 4 = 16\).[/tex]

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Enter your answer in the box.

Answers

Answer:

I think it may be 160?

Step-by-step explanation:

400/5 is 80 there's 2 yellow so 2x80= 160 times

If we rent a truck and pay a $75/day fee plus $.20 for every mile we travel, write a linear equation that would express the total cost per day using to represent the number of miles we travel. Graph this function on your graphing calculator and find the total cost for one day if we travel 70 mi

Answers

Answer: $89 for one day and 70 miles

Step-by-step explanation:

i really need the answer to this, can anyone help me please?

Answers

The value of total area of the shape is,

⇒ 82 cm²

We have to given that;

Figure of shape is shown.

Since, Figure is made by three rectangles.

And, Area of rectangle is,

A = length x width

Hence, The area of upper rectangle is,

A = 3 x 8

A = 24 cm²

Area of middle rectangle is,

A = (11 - (3 + 5)) x (8 - 2)

A = 3 × 6

A = 18 cm²

Area of lower rectangle is,

A = 5 x 8

A = 40 cm²

Thus, The value of total area of the shape is,

⇒ 24 + 18 + 40 cm²

⇒ 82 cm²

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can someone explain how five is the correct answer.

Answers

The number of unique preference orders that are represented in the table would be B. Five.

How to find the number of unique preference orders ?

An individualized preference order is one way to assign a hierarchal ranking to an assortment of options. This ordering is recognized as "unique" because each item is assigned its own rank, with no two elements sharing the same level of priority.

From what is shown on the table, we have Voters 2, 4, 5 and 7 having a unique order. From these four voters, we therefore have four unique preference orders.

However, there is another unique preference order which is the shared preference order of Voters 1. 3 and 6 because this is unique preference order shared by three people.

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Factor completely. 2x^2 − 7x − 4

Answers

Answer:

(2x + 1) (x - 4)

Step-by-step explanation:

2x² - 7x - 4.

need two number that add up to -7, but that multiply together to get -4.

(2x + 1) (x - 4) = 2x² - 4(2x) + x - 4 = 2x²  - 8x + x - 4 = 2x²  - 7x - 4

A small publishing company is releasing a new book. The production costs will include a one-time fixed cost for editing and an additional cost for each book printed. The total production cost (in dollars) is given by the function , where is the number of books.
The total revenue earned (in dollars) from selling the books is given by the function .

Let be the profit made (in dollars). Write an equation relating to . Simplify your answer as much as possible.

Answers

An equation relating to P to N include the following: P(N) = 16.75N - 650.

What is profit?

In Mathematics, profit is a measure of the amount of money generated when the selling price is deducted from the cost price of a good or service, which is usually provided by producers.

Mathematically, the amount of profit made from selling x number of books can be calculated by using the following function:

Profit made = Revenue earned – Cost of production (cost price)

P(N) = R(N) - C(N)

P(N) = 33.70N - (650 + 16.95N)

P(N) = 33.70N - 650 - 16.95N

P(N) = 16.75N - 650

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when do you think pressure can be negative

Answers

Answer:

Yes it can be negative

Step-by-step explanation:

For example, in a vacuum, there is no atmospheric pressure and the pressure is zero. If we introduce a sealed container into the vacuum and pump out the air, the pressure inside the container will be negative compared to the pressure outside the container.

it takes 16 people to play a 30 minute rugby game. How many people would it take to play an hour game

Answers

I’m pretty sure u would double the number of people since it doubled the time
It would take 32 people

FIND THE TOTAL SURFACE AREA

30 Length
12 base
9 Hieght

Answers

The surface area of the rectangular prism is 1476 square units

What is the surface area of the rectangular prism?

From the question, we have the following parameters that can be used in our computation:

30 mm by 12 mm by 9 mm

The surface area of the rectangular prism is calculated as

Surface area = 2 * (Length * Width + Length * Height + Width * Height)

Substitute the known values in the above equation, so, we have the following representation

Area = 2 * (30 * 12 + 30 * 9 + 12 * 9)

Evaluate

Area = 1476

Hence, the area is 1476 square units

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when given angle measures of 25,65,and 90,is it possible to draw a triangle,possible to draw only one triangle,or possible to draw more than one triangle?explain.

Answers

The total angle measurement of a triangle sum above is 180°. So yes,  it is possible to only make a right angle triangle but  impossible to draw a triangle

What is the triangle?

To check if a triangle can be drawn with 25°, 65°, and 90° angles, we use the Triangle Angle Sum Theorem stating that all triangle angles add up to 180 degrees.

If you add all the angles together (25 + 65 + 90 = 180°),  We can draw a triangle based on this sum, but we only consider the angles' nature. The triangle has angles of 25°, 65°, and 90°, making it a right triangle. It only applies to right triangle and not others triangle .

Note that based on the given angle measures of 25°, 65°, and 90°, it is impossible to draw a triangle as it does not follow the triangle inequality property.

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Using the graphing method, which of the following choices is the solution of the system: y = -x − 4 4y − 2x = 8 (-6, -2) (-4, 0) There are infinite solutions. There are no solutions.

Answers

The solution of the system of equations is the point (-4, 0)

How to solve the system of equations?

Here we have the system of equations:

y = -x - 4

4y - 2x = 8

To find the solutions graphically, what we need to do is graph both equations on the same coordinate axis, and then find the points where the graphs of the equations intercept. These points are the solutions of the system.

On the image at the end, you can see the graph of the system of equations, there we can see that the lines intercept at the point (-4, 0), so that is the solution.

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Circle the error he made. Explain the error and show how to solve the system correctly.

Answers

The error in solving the system of equations is given as follows:

Application of the negative signal, the distributive property must be applied instead of simply changing the signal of the first term.

The correct solution is:

(-10, -38).

How to solve the system of equations?

The system of equations for this problem is defined as follows:

2x - y = 18.y = 4x + 2.

Replacing the second equation into the first, we have that:

2x - (4x + 2) = 18.

The negative sign changes the sign of all the terms inside the parenthesis, hence the value of x is obtained as follows:

2x - 4x - 2 = 18

-2x = 20

2x = -20

x = -10.

Then the value of y is given as follows:

y = 4(-10) + 2

y = -38.

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Jen’s soccer team is playing 4 games next week. How many different outcomes are there for the four games

Answers

Answer:

4 outcomes

Step-by-step explanation:

Use six pairs of the corresponding parts to explain why these triangles are similar

Answers

The corresponding angles and sides that show that the triangles are similar are: <A ≅ <R; <K ≅ <T; <M ≅ <L

RL/AM = RT/AK = TL/KM = 1.5.

What are Similar Triangles?

Similar triangles are triangles that look alike but might be bigger or smaller than each other. This means that their matching or corresponding angles are the same and their matching sides have the same proportional length.

Therefore, from the image, we have corresponding pairs of angles that are congruent as follows:

Angles A and R

Angles K and T

Angles M and L

The corresponding sides that are proportional are:

AM and RL, which is RL/AM = 6/4 = 1.5

AK and RT, which is RT/AK = 7.5/5 = 1.5

KM and TL, which is TL/KM = 9/6 = 1.5

Therefore, the triangles are similar.

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A car dealership has 10 cars on display. They have 7 cars and 3 trucks. What decimal number shows the number of trucks they have on display?

Answers

0.3 is the decimal number that represents the proportion of trucks on display.
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