Your uncle Zephaniah gives you $1 000 000. You decide to invest the whole lot into Canada Savings bonds (CSB's). The CSB's pay simple interest at a rate of 3.78% per year, and mature after fifteen years (that is, you have to cash them out after fifteen years).

1. Make a chart that shows the total amount of money you will have after each of fifteen years. The headings should be:
2. "End of Year", "Annual Interest ($) I = Prt  " and "Total amount ($)" A = P + I

2.Determine the equation that best models the relationship between the year and the total amount. Explain how you develop this question.

3.Use the equation to predict the year that (if you were allowed to leave the bond in for as long as you wanted), your investment would be worth $1 982 800. 

4.Make a graph that shows the relationship between the year and the total amount the investment is worth.

5.Describe the relationship between the mathematics of calculating simple interest, and the mathematics behind analyzing arithmetic sequences. How might simple interest be described as a problem of applied arithmetic sequences?

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Question Stepbystep explanation Given Principal P 1000000 Simple interest rate r 378 Maturity t 15 years 1 The simple interest for each year is calcul... View the full answer