1) 2000∗(1+r)72=6000
r-interest rate is compounded monthly.
r=0.0154
2) a) 450,000∗1.15=724,729.5
b) If Lydia will reinvest this money with rate more than inflation, Yes, to sell hous now is worthwhile. Another situation it is not.
3) x∗(1+0.065)12=4500
x=2,113.57
4) 3,897∗(1+r)5=5,350
r=0.0654
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