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Title: To what future value will a principal of $7100.00 amount in three years at 7.6% p. Post by: majarm on Nov 26, 2017 To what future value will a principal of $7100.00 amount in three years at 7.6% p.a. compounded:
a) annually b) semi-annually c) quarterly d) monthly Title: Re: To what future value will a principal of $7100.00 amount in three years at 7.6% p. Post by: yacom on Nov 26, 2017 P V = 7100.00
a) m = 1, i = 7.6%, n = 3 FV = 7100.00(1 + .076)3 = 7100.00(1.245767) = 8844.95 b) m = 2; i = = 0.038; n = 3*2 = 6 FV = 7100.00(1 + .038)6 = 7100.00(1.2507892) = 8880.60 c) m = 4; i = = 0.019; n = 3*4 = 12 FV = 7100.00(1 + .019)12 = 7100.00(1.2534015) = 8899.15 d) m = 12; i = = 0.0063; n = 3*12 = 36 FV = 7100.00(1 + .0063333)36 = 7100.00(1.2551836) = 8911.80 |