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5 percent means you get (0.05 x 500) = $25 per year, assuming simple interest.Over 2 years, you get $50 interest. Plus, of course, you should also get your $500 back.
The simple answer is approximately 13.7 years using the rule of 72. Interest paid quarterly will affect the answer a little, but not enough to matter.
find the interest on $4000 at 3.5% annual interest for 1 year 6 months
Your money will accrue interest after leaving it in the bank for 12 months.
4/3pir^3
8 years.
72/9 ie 8 years
The formula for simple (ordinary) interest on a bank deposit is Deposit Amount x Rate x Time (# of days) on Deposit.
A person could the interest rates for certificates of deposit by using an interest rate calculator where the amount of the deposit is entered into an equation and the end result will be how much interest will be earned for the term you want.
Fixed deposit interest is calculated using the simple interest concept Interest = (principal * no. of years * rate of interest) / 100 principal = the amount you deposited rate of interest = the amount in % Ex: Deposit amount - 10,000 Rate of interest = 10% no of days = 365 Interest = (10000 * 365 * 10) / (365*100) = 1000
Fixed deposit interest is calculated using the simple interest concept Interest = (principal * no. of years * rate of interest) / 100 principal = the amount you deposited rate of interest = the amount in % Ex: Deposit amount - 10,000 Rate of interest = 10% no of days = 365 Interest = (10000 * 365 * 10) / (365*100) = 1000
Use the "rule of 72"...simply put, using compound interest you take the number 72 and divide it by the interest rate. Thus, at 5% the time to double is 14.4 years. This formula can be used for calculating a "double" for any interest rate using the same mathematical procedure.
You can deposit nickel as a coating by using nickel chloride and a technique known as electroplating.
You earn an interest by depositing your money with the bank either in your savings account or through a fixed deposit. The bank grants loans to other customers and earns an interest out of it. Since it is your money they are using to give off loans, they share a portion of the profit they earn with you by means of an interest that gets paid out to the deposit customers.
It would entirely depend on the type of deposit you make. For a regular CD or Fixed deposit interest rate is around 4% and taking 4% into account you will get 5384 pounds per week. You can calculate this using: Interest per year = p * n * r / 100 P - amount you deposit N - number of years R - rate of interest Interest per week = interest per year / 52
deposit is like food for banking body to keep it operative by way of using it .
Using simple interest is easier for people to understand. Customers will be able to manage their payments if a business uses simple interest.