60 divided by 1/5 (.2) is 300
Yes, I do. They are making large transactions without knowing if they will invest anything, and yes, while it is sometimes necessary to take risks, they are not thinking enough about the future and how if they make another mistake everything could go downhill. They also live in the lap of luxury, not cutting out a bit of the money which they w=could be using to repay the debts they owe.
Answer:
B
Step-by-step explanation:
just because :)
The annual returns will be calculated as follows:
a] Here we use the formula:
A=p(1+r/100)^n
A=future amount
p=principle
r=returns
n=time
We are given:
A=500, p=400, t=1
Plugging the values in the formula we obtain:
500=400(1+r)^1
simplifying and solving for r:
1.25=1+r
thus
r=1.25-1
r=0.25~25%
b] Using the formula above:
A=p(1+r/100)^n
A=2500+100=2600, p=2000, n=1 year
plugging the values in the equation we obtain:
2600=2000(1+r)^1
simplifying and solving for r we obtain:
2600/2000=1+r
1.3=1+r
hence
r=1.3-1
r=0.3~30%