Question 7 How much should I invest now into an account paying 4% p.a. compounded interest if I want the investment to have a value of K20 000 in 2 years, time? (2marks)

Soluzione

Soluzione

Principal : 18491.12

Fasi della soluzione

Translate the problem into an equation:

20000 = P (1 + \frac{0.04}{1})^{1 \cdot 2}

Risolvi per

P, 20000 = P (1 + \frac{0.04}{1})^{1 \cdot 2} : P = 18491.12

Principal : 18491.12

Esempi popolari

Half of a number,two increased by the product of a number and 8 is less than 19 Harold deposited 70 in an account earning 5% interest compounded annually.To the nearest cent, how much interest will he earn in 2 years?Find the compound amount for the deposit and the amount of interested earned.\15, 000 at %5 compounded monthly for 18 years.You would like to have 5, 000.00 in a savings account after 5 years. Your savings account has a 9.5% interest rate, compounded quarterly. How much must you deposit in that account now to reach your goal?