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[DOC File]Simple and Compound Interest Worksheet
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In problems 4-6, compare the amount of money you have if the investment is compounded annually versus daily. Write out and calculate 2 equations per problem. $1,000 at 8% for 5 years. $2,000 at 12% for 3 years. $5,000 at 7% for 20 years. Answer the questions in problems 7-9. What is the future amount of $12,000 invested for 5 years at 4% ...
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[DOC File]Simple and Compound Interest Worksheet
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1.5%/year, compounded weekly (52 times/year), after 5 years. 6.5%/year, compounded daily (assume 365 days/year), after 10 years. Problem 2. In the following exercises, calculate the present value of an investment that will be worth $1000 at the stated interest rate after the stated amount of time. 10 years, at 5%/year, compounded annually
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[DOC File]Word Problems with Exponents and logs
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Calculate the investment if it is compounded annually. Calculate the investment if it is compounded semi-annually (twice a year). Calculate the investment if it is compounded quarterly (four times a year). Calculate the investment if it is compounded monthly (12 times a year). Calculate the investment if it is compounded daily (365 times a year).
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[DOC File]Chapter 3 Time Value of Money
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27. A bank offers an interest rate of 7% per annum, compounded daily. What is the effective (simple) interest rate? 28. What principle should you deposit at 5.5% interest per annum, compounded semiannually, so as to have $6000 after 10 years? 29. You have two savings accounts. On account starts with a balance of $1000 and grows at 7% compounded ...
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[DOC File]Problems for Section 5 - UTEP MATHEMATICS
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For daily rate: (1 + d)365 = 1 + i 2.3 EXAMPLE 9 – Frequency of compounding. Suppose you plan to invest $100 for 5 years at a nominal annual rate of 10%. What will happen to the future value of your investment if interest in compounded more frequently than once a year? Because interest will be earned on interest more often, you might expect the
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[DOC File]Algebra 1 Part 2 – Review of Exponents
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A = compounded or final amount (principal + interest ) P = principal (amount of money that was originally borrowed or invested) r =rRate (interest rate in decimal form) Ex. 10% = 0.10. 5% = 0.05. t = term (in years) Ex. 2 years = 2. n = # of compounding periods in term. Annually = 1 Monthly = 12. Semi-annually = 2 Weekly = 52. Quarterly = 4 Daily = 365
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3 Ways to Calculate Daily Interest - wikiHow
In problems 4-6, compare the amount of money you have if the investment is compounded annually versus daily. Write out and calculate 2 equations per problem. $1,000 at 8% for 5 years. $2,000 at 12% for 3 years. $5,000 at 12% for 20 years. Fill in the blanks for problems 7-12. Compounding Period (n) Principal (P) Yearly rate ( r ) Time (t ...
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How to calculate compounded daily