Over a 7-year period, the number of uninsured motorists in New Mexico dropped from 33% to 10% because an up-to-date computer database allowed the state to better police its requirements for car and truck liability insurance. Assuming the decrease occurred uniformly and compounded annually, what was the annual rate of the decrease?
What will be an ideal response?
There are no tables for negative interest rates. Write the equation for i < 0% values
F = P(1 – i)?
10 = 33(1 – i)?
0.303030 = (1 – i)?
0.303030^1/7 = (1 – i)
i = -15.7% per year
You might also like to view...
Risk management, controlling uncertainties and potential dangers by assessing them and
developing strategies and tactics to reduce them, is a distinguishing characteristic of agribusiness.
Indicate whether the statement is true or false.The electrostatic process is also called the diazo process
Answer the following statement true (T) or false (F)
What are two principal parts of a motor?
What will be an ideal response?
Technician A says an incorrect camber setting will cause a vehicle to wander in the direction of the least positive setting. Technician B says caster is a stability angle. Who is correct?
A. Technician A only B. Technician B only C. Both Technicians A and B D. Neither Technician A nor B