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To the nearest dollar, how much money needs to be invested

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Carcass
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To the nearest dollar, how much money needs to be invested [#permalink] New post   30 Jul 2017, 08:22
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To the nearest dollar, how much money needs to be invested in an account that earns 8 % interest, compounded quarterly, in order to have $12,000 at the end of 3 years?

(A) $9,462

(B) $9,326

(C) $9,677

(D) $9,804

(E) $11,308
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A
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YMAkib
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Re: To the nearest dollar, how much money needs to be invested [#permalink] New post   05 Feb 2018, 05:54
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Let the principal amount is P. In here we have used the multiplier concept for compounding quarterly.
So, 12000=p(1+8%/4)^(3*4) or, p ~ 9500
So A is the answer.
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Re: To the nearest dollar, how much money needs to be invested [#permalink] New post   25 Feb 2018, 03:06
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Shouldn't we need a scientific calculator for this question? I know that the equation would be 12,000 = P * (1 + 0.08/4)^ ((3*4)).
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Re: To the nearest dollar, how much money needs to be invested [#permalink] New post   26 Feb 2018, 13:02
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The GRE questions posed during the test are conceived to be solved in a certain amount of time and usually without calculator.

Nonetheless, you do have during your official exam.

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boxing506
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Re: To the nearest dollar, how much money needs to be invested [#permalink] New post   05 Mar 2018, 07:25
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YMAkib wrote:
Let the principal amount is P. In here we have used the multiplier concept for compounding quarterly.
So, 12000=p(1+8%/4)^(3*4) or, p ~ 9500
So A is the answer.

you did not turn 8/4 into percent form, it's 8/4/100
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Re: To the nearest dollar, how much money needs to be invested [#permalink] New post   23 Nov 2021, 13:18
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Carcass wrote:
The GRE questions posed during the test are conceived to be solved in a certain amount of time and usually without calculator.

Nonetheless, you do have during your official exam.

Regards



how do we calculate this without a calculator?
I mean, the exact figures
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Re: To the nearest dollar, how much money needs to be invested [#permalink] New post   23 Nov 2021, 16:43
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Notice how this is not a perfect question, in fact, it is not an official question.

An official question has perfectly all the answer choices in ascending order. So the answer , that is A, should be in the second place. Therefore, B.

Aside from this consideration the question is pretty straightforward if you use the answer choices.

start with B

9,326 *1.08=10,072

this value per 1.08 another two times (3 in total) and you will get a result a bit far from 12,000

At this point is reasonable to think the answer is A which is slightly higher as value

30 seconds

see more here for % https://gre.myprepclub.com/forum/gre-math- ... tml#p81625

or here for compound interest https://gre.myprepclub.com/forum/gre-quant ... 18388.html
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Re: To the nearest dollar, how much money needs to be invested [#permalink] New post   07 Nov 2024, 01:16
Hello from the GRE Prep Club BumpBot!

Thanks to another GRE Prep Club member, I have just discovered this valuable topic, yet it had no discussion for over a year. I am now bumping it up - doing my job. I think you may find it valuable (esp those replies with Kudos).

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Re: To the nearest dollar, how much money needs to be invested [#permalink]
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