Posted by Mike on Thursday, April 14, 2011 at 10:45am.
John,George,Mike or Lucky,
This is the same type of question as your previous question:
http://www.jiskha.com/display.cgi?id=1302748623
Study the previous response carefully and you will get the answer for this one easily.
If you need further help, post.
This one is qt different..i need more help..Thanks!
For simple interest, and compounded yearly, at the end of one year, the interest is the same, as there is only one period.
interest rate = 1.03
Balance = PRN = 1000*1.03*1 = $1030
Interest = balance - principal = 1030-1000=$30
Principal = P = $1000
Compound interest
Compounded annually:
balance = PRn = 1000*1.03^1 = $1030
Interest = 1030-1000=$30
Compounded quarterly:
n = 12months/3months = 4
R = 1+0.03/4 = 1.0075
balance after 1 year
= PR^n
interest = PR^n-P
Compounded daily:
n=365
R=1+0.03/365
balance after 1 year
= PR^n
interest = PR^n-P
Thank you very much for your help!
PR^n-P
Related Questions
Math - you deposit $1000 at 3% per year.what is the balance at the end of one ...
Math - You deposit $10,000 at 5% per year. What is the balance at the end of one...
bussiness fianace. - • You deposit $5,000 into a 3-year certificate of ...
Math - Rosa invested $8000 for one year, part ast 8% annual interest and the ...
computer science - When $1000 is deposit at 5% simple interest, the amount grows...
Alg 2 - Suppose you deposit a principal amount of p dollars in a bank account ...
Alg2 - Help....Help... Suppose you deposit a principal amount of p dollars in a ...
math - Michael has a total of $2000 on deposit with two saving institutions. One...
math - Formulate but do not solve the problem. Michael Perez has a total of $...
Engineering Economics - Hi there, I am having some trouble solving this problem...
For Further Reading
