Finite Math HW

MAT 105 PROJECT #9

CHECK CASHING CHARGES

Background: As we become employed an necessary to convert the check to cash or to have the amount ofthe check lut into.o.ur 9wn checking account. There are in the main, 3 types of financial institutions that will help us do this: Banks, Credit Unions, and Check Cashing storefronts. Generally Check Cashing storelronts derive their cliental from households without bank or credit-union accounts.

Determine the amount of the be.tef@ a credit union or a Check Cashing storefront to cash checks.

Time Period: Every month of every year from age t A to age O&

That the employer issuing thipaffi and that the amount ofthe weekly check is $450.

Assume that the account balance will not Ue trigtr ana witf averae between $ 10 and $450 at any given time.

That the savings each month of usi@ using the most costly cost, are added into a mutual fund account that averages 9% interest per year compounded monthly.

Questions: What would be the costs of cashingffi the 3 financial institutions mentioned in the Backeround section?

Calculate the savings that could@ lease costly institution. [The most costly minus the least costlvl

Ifthe savings, in question #2 we.effi earning 9o/o interest per year compounded monthly, what would be the amount in this account at aSe 68?

The answerto this questionffi calculations. Describe 3 ways in which a person's retirement standard of living could change if these resources, irom question #2. were available.

Listthe source(s) ofyour i result.

Typed. Project report size is limited to 2 pages

10:00 am on 3/ 12/15 "ith".

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