Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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7. A warren of bunnies is growing at 10% per month.
a. Find the approximate doubling time.
b. If the warren is currently at a population of 500 burinies, use the approximate doubling time to
find the size of the warren in 2 years.
c. Find the exact doubling time. Round to 2 decimal places.
d. If the warren is currently at a population of 500 bunnies, use the exact doubling time to find the
size of the warren in 2 years.
e. What is the relative error caused by using the approximate doubling time instead of the exact
doubling time? Round to 2 decimal places.
SHOW YOUR WORK FOR ALL PARTS ON PAPER.
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Transcribed Image Text:7. A warren of bunnies is growing at 10% per month. a. Find the approximate doubling time. b. If the warren is currently at a population of 500 burinies, use the approximate doubling time to find the size of the warren in 2 years. c. Find the exact doubling time. Round to 2 decimal places. d. If the warren is currently at a population of 500 bunnies, use the exact doubling time to find the size of the warren in 2 years. e. What is the relative error caused by using the approximate doubling time instead of the exact doubling time? Round to 2 decimal places. SHOW YOUR WORK FOR ALL PARTS ON PAPER.
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