if the ncua pays $1.92 billion to cover several failed credit unions, and doing so drains its reserve fund…

if the ncua pays $1.92 billion to cover several failed credit unions, and doing so drains its reserve fund by 8.42%, approximately how much was in the fund to begin with?\na. $24.7 billion\nb. $22.8 billion\nc. $20.9 billion\nd. $19.0 billion\nplease select the best answer from the choices provided\na\nb\nc\nd

if the ncua pays $1.92 billion to cover several failed credit unions, and doing so drains its reserve fund by 8.42%, approximately how much was in the fund to begin with?\na. $24.7 billion\nb. $22.8 billion\nc. $20.9 billion\nd. $19.0 billion\nplease select the best answer from the choices provided\na\nb\nc\nd

Answer

Explanation:

Step1: Set up the proportion

Let the initial amount in the fund be $x$ billion. We know that $1.92$ billion is $8.42%$ (or $0.0842$ in decimal - form) of $x$. So the equation is $0.0842x = 1.92$.

Step2: Solve for $x$

Divide both sides of the equation by $0.0842$: $x=\frac{1.92}{0.0842}\approx22.8$.

Answer:

B. $22.8$ billion