[1](b)	(3 pts)(Part of Pg 52 #37) The fixed costs to produce Rolling Pebble magazine are $1400, and printing costs are $0.40 per magazine. Each magazine sells for $0.85 and produces $0.20 in advertising revenue	Math : the music of the spheres
	If P is the profit on sale of x magazines, write an equation relating P and x :
	Profit   P = x + (enter numbers in boxes, such as 3, -½, or 0)

Failure to practice problems like those in [2a][2b][2c] below, accounted for most of the lost points on this test

For the following 3 questions, you must state the formula you plan to use, as well as the values of all variables occurring in the right side of that formula, such as A, P, r, R, i, m, t, n (whichever are appropriate). The left side of your formula should be a single variable whose value answers the question. After this is done, STOP : do not try to use a calculator to evaluate the right side.	Wake-up call ! Word problems ahead
[2](a) (Pg 412 #37, one number changed) In order to buy a used Rolls Royce in British pounds (£), Prince William borrows £120,000 at an annual interest rate of 12% compounded monthly. If Prince William repays the loan in 2 years by making equal monthly payments, how much must William pay each month? (See instructions above)

 
 
 

[2](b)

(Pg 380 #19)(1 pt) Amanda borrows $640 at an interest rate of 2% per month compounded monthly. Six months later she repays the loan and interest. What did she re-pay? (See instructions above)

 
 
 

[2](c)

[Pg 394 #25](2 pts) On 1 January 2002, Mr. bin Laden and his 4 wives decided to save up to remodel their cave, depositing $400 at the end of each 6 months into an account paying 8% annual interest compounded semi-annually. How much will be in this account on 1 January 2007, 5 years later? (See instructions above)