Algebra 1
posted by Lola .
A finance company offers cheaper interest rates if you borrow a larger sum of money for shorter time period. A borrower is offered $7000 at 12% or $10080 at 10%. If the tome for the lager loan is 6 months less but the total interest is the total interest is the same, find the time to repay for each loan.

interest for lower rate loan = 7000(1.1)^n  7000
interest for higher rate loan = 10080(1.12)^(n.5)  10080
10080(1.12)^(n.5)  10080 = 7000(1.1)^n  7000
10080(1.12)^(n.5) = 7000(1.1)^n  7000 + 10080
1008(1.12)^(n.5) = 700(1.1)^n + 308
no easy way to solve for n
I would try some values of n, until
left side = appr. right side
Respond to this Question
Similar Questions

Finance
Sauerfood company has decided to buy a new computer system with an expected life of 3 yrs. the cost is 150,000.the comapny can borrow $150,000 for 3yrs at 10% annual interest or for one yr at 8% annual interest. How much wld sauer … 
COM 155
Write 2 paragraphs about how interest rates affect our purchasing descisions. Identify the topic sentence by underlining it. Interest rates is the price that the lender sets for the borrower to pay as a fee to borrow money. Depending … 
Math
Serena wanst to borrow $15 000 an pay it back in 10 years. Interest rates are so high, so the bank makes her 2 offers option 1  borrow the money at 12%/a compounded quarterly for the full term option 2 Borrow the money at 12%/a compunded … 
Math
Serena wants to borrow $15 000 and pay it back in 10 years. Interest rates are high, so the bank makes her two offers: • Option 1: Borrow the money at 10%/a compounded quarterly for the full term. • Option 2: Borrow the money at … 
Algebra II math high school
To get the necessary funds for a planned expansion, a small company took out three loans totaling $25,000. The company was able to borrow some money at 8%. It borrowed $2000 more than half the amount of the 8% loan at 10% and the rest … 
Finance
Gene's Art Gallery is notoriously known as a slowpayer. The firm currently needs to borrow $27,500 and only one company will deal with them. The terms of the loan call for daily payments of $100. The first payment is due today. The … 
finance
To borrow $2,200, you are offered an addon interest loan at 10.2 percent with 12 monthly payments Equal payment Compute the EAR of the loan. EAR 
Business finance
Mr. X wants a fridge that cost 12000.He has arrange to borrow to borrow the total purchase price from a finance company at a simple interest rate of 12% .the loan require quarterly payment for a period of 3yrs.if the first payment … 
Social Studies
Maria ivanov has owned a successful clothing boutique chain for 20 years. Sha has gone into debt several times to expand her business.each time she paid off the debt in full sooner than expected. How will Maria's record affect the … 
math 106
A lender oﬀers a choice between two loans. For loan A the lender charges 12% a year compounded 12 times a year. For loan B the lender charges 12.5% a year and compounds it once a year. Is loan A or loan B a cheaper loan for the borrower. …