MAT133-Test 1A

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MCS @UTM MAT 133Y Term Test #1A

October 19, 2007, 4pm

Last Name: _______________________________________. Given Name: ______________________________________. Student #: _________________________________________. Circle your TAs Name YOUR TUTORIAL # OR TUTORIAL DAY/TIME Students are expected to have this tutorial information when writing the test. Check your My Grades on Bb to see who your TA is, as well as the tutorial section and details (day/time/room)! WARNING: Up to 2% may be deducted from the test grade for missing or incorrect tutorial information. INSTRUCTIONS Use a pen to fill in your name and student number on each sheet. Only TI-30XIIB or TI-30XIIS calculators are allowed (with no lids or inserts). NO other aids allowed. The time allotted is 100 minutes. Question 1 has many parts. Each part has a box provided for you to put your final answer in. Make sure your answer is in the box, and is clear. There are NO PART MARKS for these questions. 5. Questions 2, 3 and 4 require you to show all your work and for you to write out a concluding statement for each part. A correct answer obtained with false reasoning or with no reasoning will not receive any marks. 6. With the exception of the Signature Sheet attached to the front of this test, there are 11 pages, including a formula sheet. Make sure you have all of them. 7. Budget your time. Good Luck! 1. 2. 3. 4.
Dave Joon Lynn Mike Sahir Shahad Vandit

Question #

Out of

Score

1 2 3 4 Total

30 22 22 26
100
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Some facts that may be useful (taken from your Problem Set #3 sheet):
For investments with periodic rate r (where r is the APR divided by the number of interest periods in one year): S = P(1 + r ) n is the compound amount when a principal amount P is invested for n periods at a periodic rate of r.

P = S (1 + r ) n is the present value (or principal amount) that needs to be invested at the periodic rate of r for n
interest periods so that the compound amount is S. The effective rate re that is equivalent to an APR (a nominal rate) of i compounded n times a year is given by:

i re = 1 + 1 n
For continuous compounding: The formula S = Pe rt gives the compound amount S of a principal amount P dollars after t years at an annual interest rate r compounded continuously. The formula P = Se rt gives the present value P of S dollars due at the end of t years at an annual interest rate r compounded continuously. The effective rate re corresponding to an annual rate of r compounded continuously is given by: re = e r 1
Some facts about annuities:

A= R

1 (1 + r ) n r

For a LOAN amortized over n periods at a periodic rate r, we have: Principal outstanding at beginning of period k:

(Present value of an Ordinary annuity)

S=R

(1 + r ) n 1 r

(Future value of an Ordinary annuity)

1 (1 + r ) n +1 A = R 1 + r
(Present value of an annuity due)

n + k 1 1 1+ r Ak = R

( )

The interest portion of the kth payment is:

(1 + r ) S = R r

n +1

(Future value of an annuity due) A = Present value of an annuity S = amount (future value) of an annuity R = amount of each payment n = number of payments r = periodic rate of interest

Akr = R 1 (1 + r )

n+k 1

The principal contained in the payment of the kth period is:

R - R 1 (1 + r )

n+k 1

= R (1 + r )

n+k 1

Total finance charges (interest paid):

nR - A

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NAME: ________________________

STUDENT NUMBER: ___________________

QUESTION 1: For each part, clearly indicate your final short answer in the appropriate BOX provided. [30 marks, 3 marks for each box, with NO part marks for incorrect final answers.] (Answers involving money should be in the form of $xxx.xx, in other words, up to 2 decimals ONLY) A. Solve for x if you are given:

x 2 + 33 = x + 3
Answer for A:

x=

B. Given: A =

1 2 3 1 T , and B = , evaluate A B . 4 5 6 1
Answer for B:

AT B =

C. Given

x y z 1 2 3 8 3 5 = , find the value of t. + 2 u t m 4 5 6 9 8 14

Answer for C:

t=

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QUESTION 1 (continued) For each part, clearly indicate your final short answer in the appropriate BOX provided. [30 marks, 3 marks for each box, with NO part marks for incorrect final answers.] (Answers involving money should be in the form of $xxx.xx, in other words, up to 2 decimals ONLY) D. In five years a company will purchase equipment costing $100,000. The company decides to place a single deposit into a savings account now so that its future value will equal the cost of the equipment. If the account earns interest at an annual rate of 10% compounded continuously, determine the amount of the deposit.

Answer for D:

E. Find the present value of $5000 due in 3 years if the interest rate is 6.75% compounded monthly. Answer for E:

1 1 F. Given the matrix A = , find A2 = 3 4

Answer for F:

A2 =

G. Find all solutions of x if you are given that: log x + log(10 x ) = 3 . NOTE: log x is the same as log10 x. Answer for G:

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NAME: ________________________

STUDENT NUMBER: ___________________

QUESTION 1 (continued) For each part, clearly indicate your final short answer in the appropriate BOX provided. [30 marks, 3 marks for each box, with NO part marks for incorrect final answers.] (Answers involving money should be in the form of $xxx.xx, in other words, up to 2 decimals ONLY)

x + 3y + 2z = 7 H. The augmented coefficient matrix for the system given by y + 4 z = 0 , isequivalentto: x + 4 y + 6z = 8

1 0 10 7 0 1 4 0 0 0 0 1

(a) Is this matrix reduced? If it is not, row reduce it and write the final reduced form in the box provided. Answer for H (a):

(b)How many solutions does this non-homogeneous linear system have?

Answer for H (b):

x + 3y + 2z = 0 I. The coefficient matrix for the linear homogeneous system given by y + 4 z = 0 x + 4 y + 6z = 0 1 0 10 isequivalentto: 0 1 4 . 0 0 0
Solve the given homogeneous system.
x=

Answer for I:

y=

z=

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QUESTION 2: [11 + 11 = 22]

Write a concluding sentence!

[SHOW YOUR WORK]

a) A person owes x dollars now and x dollars in 5 years. He plans to pay off both these debts in 3 years, by making

a single payment of $2000. If interest is 7% compounded annually then x =?

[11 marks] (Express your final answer to the nearest dollars and cents)

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NAME: ________________________

STUDENT NUMBER: ___________________

[SHOW YOUR WORK] QUESTION 2: (continued) Write a concluding sentence! b) To purchase land for an industrial site, a company agrees to pay $20,000 down and $10,000 at the end of every six-month period for 10 years. If the interest rate is 10% compounded semiannually, what is the corresponding cash value of the land? [11 marks] (Express your final answer to the nearest dollars and cents)

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QUESTION 3: [10 + 12 = 22]

Write a concluding sentence!

[SHOW YOUR WORK]

a) Consider the following annuity: $2000 due at the end of each year for two years, and $3000 due thereafter at the end of each year for three years. If the interest rate is 4% compounded annually, find the present value of the annuity. (Express your final answer to the nearest dollars and cents) [10 marks]

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NAME: ________________________ QUESTION 3: (continued)

STUDENT NUMBER: ___________________

[SHOW YOUR WORK] Write a concluding sentence (for each part)! (Express your final answer to the nearest dollars and cents) b) A 20-year loan for $100,000 is to be amortized by equal semiannual payments. If interest is at the nominal rate of 10% compounded semiannually, find (i) the semiannual payment; the interest in the first payment; the principal repaid in the first payment; the total finance charges.
[3marks]

(ii)

[3marks]

(iii)

[3marks]

(iv)

[3marks]

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QUESTION 4: [12 + 14 = 26]

[SHOW YOUR WORK]

a)

2 1 3 Given the matrix A = 1 0 2 . 3 1 6

(i) Using the method discussed in your textbook, find A-1 (the inverse of A), (using the identity matrix I3 and row reduction).

[10 marks]

(ii) Check that A A-1 = I3

[2 marks]

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NAME: ________________________ QUESTION 4 (continued) [14 marks] b) Given the following set of linear equations:

STUDENT NUMBER: ___________________ [SHOW YOUR WORK]

2 x + y + 3z = 7 x + 2z = 0 3 x + y + 6 z = 8
[4 marks] augmented coefficient matrix

(i) Write the corresponding coefficient matrix and augmented coefficient matrix coefficient matrix

(ii) Using either the inverse of the coefficient matrix or by row reduction, solve the given set of non-homogeneous linear equations. How many solutions does this system have? List them all (if any). [10 marks]