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Compund Interest Calculations V 01

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34 views

Compund Interest Calculations V 01

Uploaded by

fngcobo88
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Simple Interest:

P is the Principal amount of money to be invested at an Interest Rate R% per period for T Number of Time
Periods, Divided by 100.

• Use the simple interest formula to find the balance:

https://www.calculatorsoup.com/calculators/financial/simple-interest-plus-principal-calculator.php

1) $1,620 at 7% for 5 years

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2) $18,600 at 12% for 2 years


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3) $540 at 9% for 2 years


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4) $24,000 at 5% for 9 years

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5) $19,000 at 6% for 2 years


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6) $48,700 at 14% for 6 years


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7) $51,600 at 15% for 7 years


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8) $48,100 at 9% for 2 years


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9) $4,400 at 2% for 2 years


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10) $49,000 at 11% for 5 years


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11) $37,000 at 1% for 9 years

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12) $36,900 at 3% for 3 years

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Compound Interest Calculations Formula:

Calculation Steps:

First, convert R as a percent to r as a decimal


r = R/100
r = 3.875/100
r = 0.03875 rate per year,

Then solve the equation for A


A = P (1 + r/n)nt
A = 10,000.00(1 + 0.03875/12)(12)(7.5)
A = 10,000.00(1 + 0.0032291666666667)90
A = 10,000.00(1.0032291666667)90
A = $13,366.37

Summary:

The total amount accrued, principal plus interest, with compound interest on a principal of $10,000.00 at a
rate of 3.875% per year compounded 12 times per year over 7.5 years is $13,366.37.

Total P+I (A): $33,000


Principal (P): $30,000
Compound (n): Daily (365)
Time (t in years): 2.5 years (30 months equals 2.5 years)

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https://www.calculatorsoup.com/calculators/financial/compound-interest-calculator.php

• Use the compound interest formula and calculator to find the balance:

1) $1,340 at 6% compounded semi-annually for 8 years


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2) $35,000 at 6% compounded semi-annually for 1 year


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3) $59,000 at 12% compounded annually for 2 years


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4) $1,340 at 1% compounded annually for 7 years


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5) $7,000 at 5% compounded annually for 2 years


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6) $200 at 1% compounded semi-annually for 7 years


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7) $34,000 at 13% compounded semi-annually for 2 years


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8) $3,900 at 3% compounded annually for 4 years


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9) $37,000 at 16% compounded annually for 6 years


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10) $17,900 at 12% compounded annually for 2 years


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11) $37,000 at 4% compounded semi-annually for 2 years


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12) $55,700 at 8% compounded annually for 6 years


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