Mathematics, 08.08.2019 02:20 bl6659
The purchasing power p (in dollars) of an annual amount of a dollars after t years of 5% inflation decays according to the following formula.†
p = ae^-0.05t
(a) how long will it be before a pension of $90,000 per year has a purchasing power of $20,000? (round your answer to two decimal places.) t = yr
(b) how much pension a would be needed so that the purchasing power p is $40,000 after 13 years? (round your answer to the nearest dollar.)
Answers: 2
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The purchasing power p (in dollars) of an annual amount of a dollars after t years of 5% inflation d...
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