I SAVED, I PROFIT! Situation 1: Suppose you started a savings account when you were 10 years old with P 500.00, but you have not added any amount to it thereafter. a. Creatively make charts showing the patterns which would lead to the formula in computing your savings account now using 3% simple interest and 3% compound interest quarterly. The chart must contain the important details like the table below; Simple Interest Principa Annual Balance at End of Interest the Year 1. Compound Interest t Principal Annual Balance at End of & Interest Interest the Year 1 2 Describe b. between created. difference charts the 3 the you c. Which do you think is best interest when you save money? Situation 2: You started with the same amount at 10 years old, but this time you add P 100.00 a month until you turn 18 years old. a. How much money do you have now assuming it still gets 3% interest? b. How much money did you actually put on it? c. How much was the interest earned?
I SAVED, I PROFIT! Situation 1: Suppose you started a savings account when you were 10 years old with P 500.00, but you have not added any amount to it thereafter. a. Creatively make charts showing the patterns which would lead to the formula in computing your savings account now using 3% simple interest and 3% compound interest quarterly. The chart must contain the important details like the table below; Simple Interest Principa Annual Balance at End of Interest the Year 1. Compound Interest t Principal Annual Balance at End of & Interest Interest the Year 1 2 Describe b. between created. difference charts the 3 the you c. Which do you think is best interest when you save money? Situation 2: You started with the same amount at 10 years old, but this time you add P 100.00 a month until you turn 18 years old. a. How much money do you have now assuming it still gets 3% interest? b. How much money did you actually put on it? c. How much was the interest earned?
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
ChapterM: Time Value Of Money Module
Section: Chapter Questions
Problem 3MC: Refer to the present value table information on the previous page. If Kathleen put 3,000 in a...
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