Solve the problem.
-An event in Daytona Beach brings an estimated 550,000 people to the town. Suppose that each person spends an average of $330.
a.How much money is infused into the local economy during the event?
b. If the money is respent in the community over and over again at a rate of 64%, determine the totalAmount spent. Assume that the money is respent an infinite number of times.
A) a. $181,500,000
b. $504,166,667

B) a. $181,500,000
b. $283,593,750

C) a. $181,500,000
b. $2,880,952.38

D) a. $18,150,000
b. $50,416,667

Question

Solve the problem.
-An event in Daytona Beach brings an estimated 550,000 people to the town. Suppose that each person spends an average of $330.
a.How much money is infused into the local economy during the event?
b. If the money is respent in the community over and over again at a rate of 64%, determine the totalAmount spent. Assume that the money is respent an infinite number of times.
A) a. $181,500,000
b. $504,166,667

B) a. $181,500,000
b. $283,593,750

C) a. $181,500,000
b. $2,880,952.38

D) a. $18,150,000
b. $50,416,667

Quizplus · Accepted Answer

a. The total money infused into the local economy is calculated by multiplying the number of people by the average amount spent: 550,000 people * $330/person = $181,500,000.b. The total amount spent, assuming the money is respent an infinite number of times at a rate of 64%, is calculated using the formula for the sum of a geometric series: Total Amount = Initial Amount / (1 - Rate of Reinvestment), which gives $181,500,000 / (1 - 0.64) = $504,166,667.

Solve the Problem. -An Event in Daytona Beach Brings an Estimated 550,000 People