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Financial Maths Section 5.1 Solutions 1 March 25, 2013 Financial Maths Section 5.1 P = Principal = Present value F = Future Value I = Interest = A - P i = Rate of interest t = Time (no. of time intervals on which interest is added) Compound Interest F = P(1+ i) t
Transcript of F = P(1+ i)lcmaths.weebly.com/uploads/1/0/7/1/10716199/_financial...Financial Maths Section 5.1...
Financial Maths Section 5.1 Solutions
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March 25, 2013
Financial Maths
Section 5.1
P = Principal = Present value
F = Future Value
I = Interest = A - P
i = Rate of interest
t = Time (no. of time intervals on which interest is added)
Compound Interest
F = P(1+ i)t
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from Q.3
%
decimal
%
decimal
%
decimal
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difference
Difference in future values?
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Separate question into "years 1 and 2" and "years 3 to 5".
