Answer:
The per month which Jackson have to save for motorcycle is $1291.54
Step-by-step explanation:
Given as :
The Amount = $18000
The rate of interest compounded monthly = 5%
the Time period = 3 years
Let the principal = P
Now, From compounded monthly method
Amount = Principal × [tex](1+\frac{Rate}{12\times 100})^{12\times Time}[/tex]
Or, $18000 = P × [tex](1+\frac{5}{1200})^{36}[/tex]
Or, $18000 = P × ([tex]1.004167^{36}[/tex])
∴ P = [tex]\frac{18000}{1.1614}[/tex] = $15498.536
So, The amount which have to save per month = [tex]\frac{15498.536}{12}[/tex] = $1291.54
Hence The per month which Jackson have to save for motorcycle is $1291.54 Answer
