Find the future value of the following investments:
A \$60\,200 investment earns interest at 17.9\% p.a., compounded annually over 26 years.
A \$7950 investment earns interest at 6.2\% p.a., compounded semiannually over 18 years.
A \$46\,400 investment earns interest at 6.8\% p.a., compounded quarterly over 5 years.
A \$8030 investment earns interest at 3\% p.a. compounded annually over 20 years.
A \$4490 investment earns interest at 2.8\% p.a. compounded semiannually over 6 years.
A \$8030 investment earns interest at 3\% p.a. compounded quarterly over 12 years.
A \$9450 investment earns interest at 2.6\% p.a. compounded monthly over 14 years.
A \$1710 investment earns interest at 2.2\% p.a., compounded weekly over 6 years.
A \$3000 investment earns interest at 4.5\% p.a., compounded daily over 5 years.
Assuming there is one leap year over this period, what is the future value of the investment?
State the term for the amount of money that would need to be invested now to grow to a certain amount after a period of time.
Calculate the present value of each investment:
An investment that earns interest at 4\% p.a. compounded annually has a future value of \$5000 in 10 years.
An investment that earns interest at 8.7\% p.a. compounded semi-annually has a future value of \$1960 in 4 years.
An investment that earns interest at 11.2\% p.a. compounded quarterly has a future value of \$98\,900 in 6 years.
An investment earns interest at 18.6\% p.a. compounded annually. What is the present value of the investment if it will be worth \$93\,700 in 26 years?
An investment earns interest at 8.3\% p.a. compounded quarterly. What is the present value of the investment if it will be worth \$11\,400 in 8 years?
An investment earns interest at 5.16\% p.a. compounded weekly. What is the present value of the investment if it will be worth \$4320 in 12 years? Assume 52 weeks in a year.
Oliver is planning an overseas trip during his long service leave, which is due in 7 years. In order to save the \$11\,000, he deposits some money into a high interest savings account that pays 12\% p.a. interest, compounded monthly.
Find the amount that he must deposit now to accumulate enough for the trip in 7 years.
Nadia has just won \$28\,000. When she retires in 27 years, she wants to have \$60\,000 in her fund, which earns 6\% interest p.a.
How much of her winnings does she need to invest now to achieve this?
If you invested \$228\,000 into an account with interest compounding annually and the balance after 12 years is \$513\,500, then determine the interest rate per annum, correct to the nearest percentage.
Claudia borrowed \$12\,000 to buy furnishings for her new cafe. What was the rate of interest per annum, if the debt grew to \$18\,665.45 after 3 years with interest compounding quarterly?
If \$13\,000 is invested and it doubles over 10 years. Find the percent annual interest rate, to one decimal place, when the interest:
Compounds annually.
Is simple interest.
Compounds daily.