# An economy is making a rapid recovery from steep recession, and business foresee a need for large amount of capital investment. why would this development affect real interest rates?

Posted by Anonymous on

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Posted on Jan 02, 2017

Try the FV function Syntax
FV(rate,nper,pmt,pv,type)

Posted on Dec 05, 2007

A positive number is 5 times another number.If 21 is added to both the numbers,then one of the new numbers becomes twice the other number.What are the numbers

Posted on Jun 30, 2008

Hi,

Jane starts with 1200\$ at the beginning of the first year, and at the end of the fourth year she has 1200\$+300\$=1500\$
Use x for her annual interest rate, that means at the end of the first year she will have 1200\$*[(100+x)/100]. At the end of the second year her first-year money earns at the same rate, so she will have 1200\$*[(100+x)/100]*[(100+x)/100]=1200\$*[(100+x)/100]^2 at the end of the second year.
At the end of the third year she will have 1200\$*[(100+x)/100]^2 *[(100+x)/100]=1200\$*[(100+x)/100]^3
At the end of the fourth year she will have
1200\$*[(100+x)/100]^3 *[(100+x)/100]=1200\$*[(100+x)/100]^4 which is equals to 1500\$

1200\$*[(100+x)/100]^4=1500\$ divide both sides by 1200\$
[(100+x)/100]^4=1,25 take the fourth root of both sides
(100+x)/100=1,05737 both sides*100
100+x = 105,737 both sides -100
x=5,737
So Jane's annaual interest rate was 5,737%.

Hope it helps you.

Posted on Mar 15, 2011

SOURCE: 8000 invested at 12% single

Single interest is calculated on the 'original principle amount' only. Accumulated interest from prior periods is not used in calculations for the following periods.
Simple Interest = p * i * n
Where p = original principal amount (i.e. the amount that was borrowed, loaned, invested) i = interest rage for one period n = the number of periods
so in your example p = 8000 i = 12% (12/100 = 0.12) n = 2
=> simple interest = 8000 * .12 * 2 = 1920 => amount after 2 years = amount invested + simple interest = 8000+1920 = 9920
I hope this helps and good luck! If you have more questions - ask away!
Don.

Posted on Sep 08, 2011

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Posted on Aug 02, 2013

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