Dusty would like to buy a new car in six years. He currently has $15,000 saved. He’s considering buying a car for around $19,000 but would like to add a Turbo engine to increase the car’s performance. This would increase the price of the car to $23,000. If Dusty can earn 9% interest, compounded annually, will he be able to get a car with a Turbo engine in six years?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Dusty would like to buy a new car in six years. He currently has $15,000 saved. He’s considering buying a car for around $19,000 but would like to add a Turbo engine to increase the car’s performance. This would increase the price of the car to $23,000. If Dusty can earn 9% interest, compounded annually, will he be able to get a car with a Turbo engine in six years?

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