Re: [discussion_vu] 28 current assignment solutions remaining will b shared v soon

Question No. 2:
In a domestic business an owner invests 15,000 Rs at 15% per annum for a period of 66 months. Calculate compound interest and also future value.
For details lec no6 page 58


Solution
S = Money accrued after n years also called compound amount
P = Principal = 15000
r = Rate of interest = 15%
n = Number of periods 66months / 12 =5.5years
S = P(1 + r/100)^ n
Compound interest = S – P
So…


S (this is future value also)= 15000(1+15/100)^5.5
Future value = 32354.105
copound intrest=S-P
= 32354.105-15000
= 17354.105
we can also find fv by this formula ans will be same
fv (future value)= pv(present value)*(1+i)^n




Question No. 3:
How much money deposited now will provide payments of Rs. 10,000 at the end of each quarter for 15 years if interest is 12% compounded quarterly.
Foe details lec no7 page 62
Solution


in our question…
C = Cash flow per period = 10000 at the end of each quarter
i = interest rate 12% compounded quarterly 12/100 = 0.12
n = number of payments. 15years*4= 60 because intrest compounded quarterly 


so…


pv = 10000*[1-(1+0.12)^-60/0.12]
= 10000*[1-(1.12)^-60/0.12]
= 10000*[0.9907]
= 9907.16

On Mon, Oct 31, 2011 at 8:40 PM, mc080406184 Zainab Fazal <mc080406184@vu.edu.pk> wrote:

send me the solution of mth302

or fin622 gdb sol

On Mon, Oct 31, 2011 at 5:22 PM, SOHA <mc080400902@vu.edu.pk> wrote:

AOA

Please share any one solution of CS506 and CS506

Thanks and Regards

On 10/31/11, pakeeza dilawar <pakeeza.dilawar@gmail.com> wrote:
> aoa plz send me the solution of cs504
>
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