What I have Learned

1
What I have Learned

• Miss Candace Riddle
• Pre-Calculus
• 1 October 2001

2
Worldly Money Problems

• Interest
• High Debt
• College Loans
• Car Loans
• Credit Card interest

3
Formulas To Solve Problems

• Compound Interest Formula
• AP(1 r/n)nt
• A Total amount (interest principal), in
  dollars
• P Principal amount invested, in dollars
• r rate of annual interest, expressed as a
  decimal
• n number of times per year the interest is
  compounded
• t number of years the principal is invested

4
Problems and Solutions

• How much money will David have at the end of 5
  years if he deposits 1,000 at 9 interest that
  is compounded semiannually? (hint remember to
  perform the indicated operations that are
  contained in parenthesis first and answer the
  questions that was asked)
• A1,000 (1 0.09/2) 25
• A 1552.97, So David made 552.97 on interest
  compounded semiannually.

5
Terms

• Quarterly- interest is calculated every 3 months
• Monthly- interest is calculated every month
• Daily- interest is calculated every day
• Semiannually-interest is calculated twice a year
  or every 6 months

6
Resources and Links

• Credit Card Interest Configuration
  charthttp//www.cardratings.org/calculatorframe.h
  tml
• Firstnationalbank.com