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Future Site is an open area waiting for a ride to be built in ten years time. As fairground management you cannot build until your

  1. "Future Site" is an open area waiting for a ride to be built in ten years time. As fairground management you cannot build until your investments have grown enough to finance the project. How should you invest?
Scenario A Invest $10 000 per month for four years and let the amount grow for the final six years at 5%/a monthly throughout.
Scenario B Wait the first five years and invest $10 000 per month for the remaining five years at 5%/a monthly throughout.
Table for Scenario A Table for Scenario B
n (time in months) Future Value ($)
0 0
12 122 788.55
24 251 859.21
36 387 533.36
48 530 148.85
60 *557 272.27
72 *585 783.38
84 *615 753.17
96 *647 256.27
108 *680 371.13
120 *715 180.21
n (time in months) Future Value ($)
0 0
12 0
24 0
36 0
48 0
60 0
72 122 788.55
84 251 853.21
96 387 533.36
108 530 148.85
120 680 060.83
* indicates compounded interest growth with now new money invested
A. Graph Scenario A and Scenario B on the same set of axes.
B. Create an equation for the data in Scenario B using function notation to express your answer. Use the form FV(n) = ?, where "FV" is the future value after "n" months of investing.
C.
i) Identify the input variable?
ii) Identify the output variable?
iii) Is FV(n) a function? State your reasoning.
iv) If the domain is restricted to 0 = n = 48 months for Scenario A, what is the range for Scenario A?

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