You are hoping to buy a house in the future and recently received an inheritance of

$24,000.

You intend to use your inheritance as a down payment on your house.

a.If you put your inheritance in an account that earns 9 percent interest compounded annually, how many years will it be before your inheritance grows to $31,000?

b.If you let your money grow for 10.5 years at 9 percent, how much will you have?

c.How long will it take your money to grow to $31,000 if you move it into an account that pays 5 percent compounded annually? How long will it take your money to grow to $31,000 if you move it into an account that pays 11 percent?

d.What does all this tell you about the relationship among interest rates, time, and future sums?