finance (1 Viewer)

[stressedadfff]

hey guys could someone explain this please, i saw the solution but dont get it loll

 

[jimmysmith560]

The solution is as follows:



Zina makes deposits of $1200 at the end of each six month period. A 2-year period implies 4 deposits. The first one doesn't earn interest. 3% per annum is changed to 1.5% per half-year to be consistent with the fact that she is making deposits at the end of each six month period.

I hope this helps!

 

[CM_Tutor]

...though why anyone would open an account and leave it empty for 6 months before making the first deposit is known only to Zina, or whatever question writer dreamed up this scenario...

 

[stressedadfff]

The solution is as follows:

View attachment 32479

Zina makes deposits of $1200 at the end of each six month period. A 2-year period implies 4 deposits. The first one doesn't earn interest. 3% per annum is changed to 1.5% per half-year to be consistent with the fact that she is making deposits at the end of each six month period.

I hope this helps!

thank youu