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Perplex
Dashboard
Topics
Exponents & LogarithmsApproximations & ErrorSequences & SeriesFinancial Mathematics
Cartesian plane & linesFunction TheoryModelling
2D & 3D GeometryVoronoi Diagrams
ProbabilityDescriptive StatisticsBivariate StatisticsDistributions & Random VariablesInference & Hypotheses
DifferentiationIntegration
Review VideosFormula BookletMy Progress
BlogLanding Page
Sign UpLogin
Perplex
IB Math AISL
/
Financial Mathematics
/
Problem Bank
IB Math AISL
/
Financial Mathematics
/
Problem Bank

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[Maximum mark: 6]

Esther invests ​$12000​ in an index fund that pays ​8%​ interest per annum, compounded monthly.

  1. Give an expression for the value of Esther's investment after ​n​ years.

    [1]
    Part (a):
    A=
  2. Calculate the amount of interest Esther will earn over the first 4 years. Give your answer to the nearest dollar.

    [2]

Esther wants to use the money to buy a car for ​$27000, but she can only make withdrawals at the end of each year.

  1. Find the number of years Esther will have to wait.

    [3]
[Maximum mark: 6]

Esther invests ​$12000​ in an index fund that pays ​8%​ interest per annum, compounded monthly.

  1. Give an expression for the value of Esther's investment after ​n​ years.

    [1]
    Part (a):
    A=
  2. Calculate the amount of interest Esther will earn over the first 4 years. Give your answer to the nearest dollar.

    [2]

Esther wants to use the money to buy a car for ​$27000, but she can only make withdrawals at the end of each year.

  1. Find the number of years Esther will have to wait.

    [3]