Asked by Shannon Klein on May 10, 2024
Verified
Marcel must temporarily invest some extra funds in his retail business every fall to purchase inventory in preparation for the Christmas season. On September 1 he already had a total of $57,000 invested in his business. On October 1 he invested another $15,000, and on November 1 he injected $27,000. He was able to withdraw $23,000 on February 1, $13,000 on March 1, and $6,000 on May 1. What was the average cumulative investment in the business during the period from September 1 to August 31? (Assume that each month has the same length.)
Cumulative Investment
The total amount of money that has been invested over a period, including reinvested earnings.
Extra Funds
Additional money available beyond what is necessary for regular expenses, which can be saved or invested.
- Compute and interpret the average cumulative investment over a time period.
Verified Answer
RB
Learning Objectives
- Compute and interpret the average cumulative investment over a time period.