An investor owns several apartment buildings. The taxes on these buildings total $2,000 per year and are due before April 1. The late fee is 0.5% per month up to 6 months, at which time the buildings are seized by the authorities and sold for back taxes. If the investor has $2,000 available on March 31, how much money will he save by investing the money at 9% and paying the taxes and the penalty on September 30 instead of paying the taxes at that time? Round your answer to the nearest cent.
A)$120.00
B)$84.00
C)$30.00
D)$75.00
E)$48.00

Question

An investor owns several apartment buildings. The taxes on these buildings total $2,000 per year and are due before April 1. The late fee is 0.5% per month up to 6 months, at which time the buildings are seized by the authorities and sold for back taxes. If the investor has $2,000 available on March 31, how much money will he save by investing the money at 9% and paying the taxes and the penalty on September 30 instead of paying the taxes at that time? Round your answer to the nearest cent. ​
A)$120.00
B)$84.00
C)$30.00
D)$75.00
E)$48.00

Quizplus · Accepted Answer

The Answer of An investor owns several apartment buildings. The taxes on these buildings total $2,000 per year and are due before April 1. The late fee is 0.5% per month up to 6 months, at which time the buildings are seized by the authorities and sold for back taxes. If the investor has $2,000 available on March 31, how much money will he save by investing the money at 9% and paying the taxes and the penalty on September 30 instead of paying the taxes at that time? Round your answer to the nearest cent. ​
A)$120.00
B)$84.00
C)$30.00
D)$75.00
E)$48.00

An Investor Owns Several Apartment Buildings