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What math formula would I use that would take a principle amount then add a percentage to the total then add the same percentage to the new total over a period of time?
Wiki User
∙ 14y ago
principal*(1+rate) raised to the power of number of periods
Wiki User
∙ 14y ago
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How do you calculate trend percentage?
trend percentage= (analysis period amount / base period amount) x 100
What if the construction project which use percentage of completion method ended in the middle of accounting period?
What if what?Just like any other period, the percentage amount attributable to being completed in the period is recorded.
What is the formula find time period?
The formula to find the time period (T) of a wave is: T = 1 / frequency (f). Time period is the amount of time it takes for one complete cycle of a wave to pass a given point.
What is the formula if base and percentage is missing and rate is given?
The formula is the same; I guess that would something like (base capital) x (percentage rate) = (amount interest). This assumes a single time period; otherwise, the number of periods appears as an additional factor. But if you are missing two out of three pieces of information in such a problem, or two out of four, there is not a unique solution, but infinitely many solutions.
Why is there more interest paid at the beginning of a loan period than at the end?
In a simple interest loan, you are paying interest on the amount of money you have borrowed in each payment period. When you make a payment, a certain amount of it goes to repay the loan, reducing the principle. In the next payment period, your interest is being calculated on a smaller amount borrowed. In the first payment, you are paying interest on the entire amount borrowed. In the next payment, you are paying interest on the amount borrowed minus the principle amount from the first payment. That's why paying extra principle early in the life of a loan can make a big difference in the time it takes to pay it off. In a 30 year home mortgage for example, in the first year the principle will be reduced by about the amount of one month's payment. If you make an extra payment toward the priniciple equal to one month's payment, you will have effectively gained an entire year in the retirement of the loan.
The process of recording revenue in the period it is earned is in line with which principle?
Matching Principle.
Why should you take index number as 100?
Working out percentage change from the base period is then simple.Working out percentage change from the base period is then simple.Working out percentage change from the base period is then simple.Working out percentage change from the base period is then simple.
What is second phrase of the classical period that focused on the principle of good administration of managerial expertise?
Of the classical period simply focussed on the principle? Gimme a break.
Where can find the simple mathematical formula for calculating interest?
You need to know the principal amount, the rate and the time. Then a very simply formula for calculating interest is I = PRT where P is the principal amount, R is the interest rate and T is the period of time in years.
How do you account for bad debts?
The matching principle requires that the cost of bad debts (defaults) need to be anticipated as an expense in the period of the sale. (Since allowing customers credit does increase sales.)A 'buffer' needs to be created in the period of the sale, that can absorb losses in future periods in case of default. There are two methods to do this.Percentage of sales methodWith the percentage of sales method a percentage of the sales is book as an expense.Ageing of accounts methodWith the aging of accounts method, the risk in end of period accounts receivables is estimated. Expenses are booked so that the allowance (buffer) can absorb this amount of losses.
What is the formula for the payback period?
Formula for the Payback Period. Payback period = Initial investment / Annual Cash inflows
What does APR on a credit card mean?
APR = Annual Percentage Rate. It's the amount of interest charged over a 12-month period.
