Bozo the clown decides to start saving money. So, every month he deposits $200 into an account which pays 4% monthly. If Bozo’s first deposit is on May 1, 2021, then how much is in the account immediately after his deposit on November 1, 2027?
8) Bozo the clown decides to start saving money. So, every month he deposits $200 into an account which pays
4% monthly. If Bozo’s first deposit is on May 1, 2021, then how much is in the account immediately after his
deposit on November 1, 2027?
9) You deposit $200 each month for five years. How much will be in the account after the five years if the
interest rate is 4% monthly?
10) An Elk, age 3, is given $400,000. (If a mouse can buy refrigerator, then an Elk can have $400,000.) The
amount is invested at 5% annually. If the Elk (His name is Ernie. You met Ernie in problem 6.) takes the money
in five equal annual payments with the first in eight years (when Ernie is 11), then what is the size of each
payment?
11) Max the mouse decides that he needs a new place to put his giant cheese refrigerator. So, Max purchases a lot
for $300,000. Max agrees to pay $25,000 dollars at the end of each year. If the interest rate is 4% compounded
annually, how many full payments must be made, and what will be the size of the concluding payment one year
after the last full payment?
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