In April 33 AD a keeper found 30 silver coins unattended at the doors of the tem
ID: 2811725 • Letter: I
Question
In April 33 AD a keeper found 30 silver coins unattended at the doors of the temple. The same day he went to a local pawnbroker and invested the money under compound interest rate of 4%. Suppose that the deposit remains intact until April 2019. a. Will the hypothetical accumulated mass of silver be greater than the mass of the Sun? (The Sun weighs 2 1030kg and one silver coin weighs 0.015kg). b. What would be the accumulated mass of silver owed in April 2019, if the investment was under simple interest rate?
Explanation / Answer
Mass of silver coins in 33AD = 30*0.015 = 0.45
a Mass of silver coins in 2019 AD = 0.45 * (1 + 0.04)^(2019-33) = 0.45 * 1.04^1986 = 0.45 * 6.733*10^33 = 3.03*10^33
This mass is greater than Sun
b. Mass in 2019AD with simple interest = 0.45 + 0.45 * 0.04*1986 = 0.45 + 35.745 = 36.198kg