Bill Casler bought a $4000, 9-month certificate of deposit (CD) that would earn 8% annual simple interest. (a) What is the value of the CD when it matures? $ (b) Three months before the CD was due to mature, Bill needed his CD money, so a friend agreed to lend him money and receive the value of the CD when it matured. If their agreement allowed the friend to earn a 10% annual simple interest return on his loan to Bill, how much did Bill receive from his friend? (Round your answer to the nearest cent.) $ (c) What annual simple interest rate did Bill Casler end up making on his investment? Round your answer to two decimal places. %
Bill Casler bought a $4000, 9-month certificate of deposit (CD) that would earn 8% annual simple interest. (a) What is the value of the CD when it matures? $ (b) Three months before the CD was due to mature, Bill needed his CD money, so a friend agreed to lend him money and receive the value of the CD when it matured. If their agreement allowed the friend to earn a 10% annual simple interest return on his loan to Bill, how much did Bill receive from his friend? (Round your answer to the nearest cent.) $ (c) What annual simple interest rate did Bill Casler end up making on his investment? Round your answer to two decimal places. %
Chapter2: Solving Linear Equations
Section2.2: Use A Problem Solving Strategy
Problem 2.53TI: Eduardo noticed that his new car loan papers stated that with a 7.5% simple interest rate, he would...
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![Bill Casler bought a $4000, 9-month certificate of deposit (CD) that would earn 8% annual simple interest.
(a) What is the value of the CD when it matures?
$
(b) Three months before the CD was due to mature, Bill needed his CD money, so a friend agreed to lend him money and receive the value of the CD when it matured. If their agreement allowed the friend to earn a 10% annual simple interest
return on his loan to Bill, how much did Bill receive from his friend? (Round your answer to the nearest cent.)
$
(c) What annual simple interest rate did Bill Casler end up making on his investment? Round your answer to two decimal places.
%](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2914af6a-2628-4fe7-952b-78860b48b35f%2F4f5292b7-9337-46fd-8152-346395d1b151%2Ffi8sowd4_processed.png&w=3840&q=75)
Transcribed Image Text:Bill Casler bought a $4000, 9-month certificate of deposit (CD) that would earn 8% annual simple interest.
(a) What is the value of the CD when it matures?
$
(b) Three months before the CD was due to mature, Bill needed his CD money, so a friend agreed to lend him money and receive the value of the CD when it matured. If their agreement allowed the friend to earn a 10% annual simple interest
return on his loan to Bill, how much did Bill receive from his friend? (Round your answer to the nearest cent.)
$
(c) What annual simple interest rate did Bill Casler end up making on his investment? Round your answer to two decimal places.
%
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