Jared is setting up his food budget for the upcoming semester. He has $2,000 to go towards food for the next 120 days. He has placed his cash in a money market account that pays 2% interest monthly. Jared wants to take out the same amount of money each day over this period. Calculate the amount Jared can take out each day. Note that you may need to calculate an effective daily rate to perform this calculation. You may simplify this by letting each month be 30 days long.

Answer rating: 100% (QA)

To calculate the amount Jared can take out each day we can use the formula for the present value ... View the full answer