A customer can pay GH➣900.00 per month on a mortgage payment. Interest rate is 12% annually compounded continuously, and mortgage

terms is 15 years. Determine the maximum amount the customer can pay within

the period.

  $74,748.11

Step-by-step explanation:

In order to make use of the amortization formula, we need to find the equivalent monthly interest rate.

When 12% interest is compounded continuously, the annual multiplier is ...

  e^0.12 ≈ 1.127497

The equivalent multiplier when the interest is compounded monthly is the 12th root of this,

  (e^0.12)^(1/12) = e^0.01 ≈ 1.0100502 = 1 + r

___

The amortization formula tells us that monthly payment amount A will pay off principal P in n months:

  P = A(1 -(1 +r)^-n)/r = $900(1 -1.0100502^-180)/0.0100502

  P = $74,748.11

The customer can pay off a 12% loan of $74,748.11 at the rate of $900 per month for 15 years.

85.560%

step-by-step explanation:

conditional probability is defined as:

p(a|b) = p(a∩b) / p(b)

in other words, the probability that a occurs, given that b has occurred = the probability that both a and b occur / the probability that b occurs.

in this example:

p(turns 64 | turns 44) = p(turns 64 & turns 44) / p(turns 44).

if someone turns 64, they must have already turned 44, so:

p(turns 64 | turns 44) = p(turns 64) / p(turns 44)

on page 42, we see that of the original 100,000, 94944 turn 44, and 81234 turn 64.   therefore:

p(turns 64 | turns 44) = 81234 / 94944

p(turns 64 | turns 44) = 0.85560