Final Exam Solutions and Comments,
Problem 7
Link to complete solution below
- Problem 7 was part of a recent homework problem in
Lesson 24. Regarding the answer in part (c), note that
- the total payment after 1 month is simply
rPo and IT IS EASY TO CHECK that
this is consistent with the answer in (c) when
N = 1;
- the total payment after 2 months is
rPo + r(1 -
r)Po, and with a little work this
checks with the answer in (c) when
N = 2.
Answers should be checked in this way!
Solution, Problem 7
(embedded jpg document).
Go to Solutions, Problems 1-2.
Go to Solutions, Problems 3-6.
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Last modified Jul 12, 2008 3:31 PM