document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1133089>Question 1133089</A>: <I><SPAN STYLE=\"word-break: break-all;\"> A group of workers won the lottery and will each walk away with $10 000. Fred, one of the workers,  decides to spend some of the money and save the rest. He wants the money he saves to grow back into $10 000 in 7 years. He can invest the money at 5.5% compounded quarterly.\r<BR>\n" );
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document.write( "a) How much must he invest to meet his goal.\r<BR>\n" );
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document.write( "b) How much money can he afford to spend today?\r<BR>\n" );
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document.write( "(I have been working on this problem and i did get for R=4657.65 and i am not sure what they mean by part b.)<BR>\n" );
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document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #750268 by </B><A HREF=/tutors/aboutme.mpl?userid=addingup><B>addingup(3677)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=addingup><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=addingup><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=750268\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Let the amount he invests be x.<BR>\n" );
document.write( "x(1+(0.055/4))^(4*7) = 10,000<BR>\n" );
document.write( "x*1.466 = 10,000<BR>\n" );
document.write( "x = 6,821.30 this is how much he has to invest to have 10,000 in 7 years<BR>\n" );
document.write( "10,000 - 6,821.30 = 3,178.70 this is how much he can afford to spend today (and still have 10K in 7 years) </SPAN>\n" );
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