Answer:
Step-by-step explanation:
11 years ago a farmer invested his savings for a tractor that resulted in $150,000 in final amount, at the interest rate of 8% annual, compunded monthly. the tractor has a $149,990 sticker price, with a 12% reduction for cash payment.
(A) The farmer pays the following amount:
(B) After paying for the tractor, the amount of money left is as follows:
(C) The money that the farmer invested 11 years ago can be determined using the formula (1):
The steps for the solution are as follows: