You are hoping to buy a house in the future and recently received an inheritance of $20 comma 000

20,000. You intend to use your inheritance as a down payment on your house.

a.If you put your inheritance in an account that earns 7

7 percent interest compoundedannually, how many years will it be before your inheritance grows to $34 comma 000

34,000?

b.If you let your money grow for 9.5

9.5 years at 7

7 percent, how much will youhave?

c.How long will it take your money to grow to $34 comma 000

34,000 if you move it into an account that pays 3

3 percent compoundedannually? How long will it take your money to grow to $34 comma 000

34,000 if you move it into an account that pays 12

12 percent?

d.What does all this tell you about the relationship among interestrates, time, and futuresums?