answersLogoWhite

0

If you're simply adding five percent onto the value at the end of each of the three years - the final value would be 578.8125

User Avatar

Wiki User

13y ago

What else can I help you with?

Related Questions

How much interest is earned on R9 000 invested for five years at 8 percent per annum and compounded annually?

For compound interest F = P*(1 + i)^n. Where P is the Present Value, i is the interest rate per compounding period, and n is the number of periods, and F is the Future Value.F = (9000)*(1 + .08)^5 = 13223.95 and the amount of interest earned is 13223.95 - 9000 = 4223.95


A bank account yields 7 percent interest compounded annually If you deposit 1000 in the account what will the account balance be after five years?

Per annum compound interest formula: fv = pv(1+r)^t Where: fv = future value pv = present (initial) value r = interest rate t = time period Thus, fv = 1000*(1+0.07)^5 = 1000*1.4025517307 = $1402.55


If the interest rate is 4 percent what is the present value of this stream of payments?

Present value of streams can be found by dividing the streams with 4 percent interest rate for example if stream is 100 then present value will be present value = 100 / .04


What is the present value of a 30 year annuity with payments of 7000 per year if interest rates are 8 percent annually?

85,109 if the payments are received at the start of each year and 78,804 if they are received at the end of each year


What information is needed to calculate the percent composition of a compound?

The formula of the compound and the Atomic Mass of its elements.


What is the present value of 5000 received in two years if the interest rate is 7 percent?

Assuming interest is compounded annually, the present value is 5,000 divided by 1.072 .07 is the intererst rate. The exponent is the number of years (2). So the answer is 4,367.20. After the first year, the value is 4367.20 x 1.07 = 4,672.90 Then, at the end of the second year: 4,672.90 x 1.07 = 5,000


What is the future value in 7 years if the present value is 1 and the interest rate is 2 annually?

Assuming compound interest: Future_value = present_value × (1 + interest_rate_per_period)^number_of_periods We have: present_value = 1 interest_rate_per_period = 2% per year number_of_periods = 7 years (The period is annually or yearly or per year.) → future value = 1 × (1 + 2%)^7 = (1+2/100)^7 = 1.02^7 ≈ 1.45 (to 2 dp).


What is the percent compistion of a compound?

The percent composition of a compound tells the amount of each element in the compound as a percentage. It is possible to find if the mass of an element and the total mass of the compound is known.


What is the present value of 2500 to be received at the beginning of each of 30 periods and discounted at 10 percent compound interest?

The present value of a series of payments with compound interest and payments at the end of a period can be found by the formula:PV = c * (1-(1+i)^(-n))/iwhere 'c' is the amount of the periodic payment,n is the number of periods, and i is the interest rate per period.Since you want to find the Present Value for payments starting at the beginning of the period, you would receive 1 payment of 2500 now, which would have a present value of 2500, plus the present value of 29 payments received at the end of the period:PV = 2500 + 2500 * (1-(1+.10)^(-29))/(0.10) = 25924.01


What is the present value of a 30 year annuity with payments of 800 per year if interest rates are 12 percent annually?

The PV of a 30 year 800 per year annuity is 6,444 if the payment is received at the end of the year and 7,217 is the payment is received at the start of the year


What is the value of a PacTen bond with a 10 percent coupon that matures in 15 years The current rate for this bond is 16 percent and that interest is paid annually?

To calculate the value of the PacTen bond, we can use the present value formula for bonds. The annual coupon payment is 10% of the face value (assumed to be $1,000), which equals $100. Given the current market interest rate is 16%, we need to discount the future cash flows (annual coupons and face value) at this rate. The present value of the bond can be calculated as the sum of the present value of the annuity (coupons) and the present value of the face value, resulting in a bond value of approximately $550.


What is the formula for calculating the future value of compound interest bonds?

The formula for calculating the future value of compound interest bonds is: FV PV (1 r)n, where FV is the future value, PV is the present value, r is the interest rate, and n is the number of compounding periods.