Results 1 to 4 of 4

Math Help - Finance Help

  1. #1
    Junior Member
    Joined
    Jul 2006
    Posts
    45

    Finance Help

    Hey everyone,

    Need a lot of help on this one...this is for a computer class I'm taking and I have to write a program. I wrote it, it works, BUT my math definitely wrong. Can someone help me by posting the various scenarios listed below? The variables that are need are: minimum balance, current balance, interest1,2,3.
    Also, the savings account part should have two possibilities, and the checking should (I think) have three.

    HELP!!!!!

    A bank in your town updates its customers' accounts at the end of each month. The bank offers two types of accounts: savings and checking. Every customer must maintain a minimum balance. If a customer balance falls below the minimum balance, there is a service charge of $10.00 for savings accounts and $25.00 for checking accounts. If the balance at the end of the month is at least the minimum balance, the account receives interest as follows:

    a) Savings accounts receive 4% interest.

    b) Checking accounts with balances of up to $5000 more than the minimum balance receive 3% interest; otherwise, the interest is 5%
    Follow Math Help Forum on Facebook and Google+

  2. #2
    Grand Panjandrum
    Joined
    Nov 2005
    From
    someplace
    Posts
    14,972
    Thanks
    4
    Quote Originally Posted by harold View Post
    Hey everyone,

    Need a lot of help on this one...this is for a computer class I'm taking and I have to write a program. I wrote it, it works, BUT my math definitely wrong. Can someone help me by posting the various scenarios listed below? The variables that are need are: minimum balance, current balance, interest1,2,3.
    Also, the savings account part should have two possibilities, and the checking should (I think) have three.

    HELP!!!!!

    A bank in your town updates its customers' accounts at the end of each month. The bank offers two types of accounts: savings and checking. Every customer must maintain a minimum balance. If a customer balance falls below the minimum balance, there is a service charge of $10.00 for savings accounts and $25.00 for checking accounts. If the balance at the end of the month is at least the minimum balance, the account receives interest as follows:

    a) Savings accounts receive 4% interest.

    b) Checking accounts with balances of up to $5000 more than the minimum balance receive 3% interest; otherwise, the interest is 5%
    If I understand this correctly I think the following covers what you describe:

    Code:
    function EndOfMonthProc(balance, type, MinBalance)
      if type==savings
        if balance<MinBalance
          newbalance=balance-10;
        else
          newbalance=1.04*balance;
        endif
      endif
     
      if type==checking
        if balance<MinBalance
          newbalance=balance-25;
        else
          if balance<MinBalance+5000
            newbalance=1.03*balance;
          else
            newbalance=1.05*balance;
          endif
        endif
      endif
     
      return newbalance
    endfunction
    Though I have my doubts about the interest rates, I would have thought they
    should be annual rates paid monthly in which they should be:

    1+0.04/12, 1+0.03/12, and 1+0.05/12.

    RonL
    Last edited by CaptainBlack; October 6th 2006 at 09:59 AM.
    Follow Math Help Forum on Facebook and Google+

  3. #3
    Junior Member
    Joined
    Jul 2006
    Posts
    45
    Hi CB,

    Thanks! The last part of the question is the following:

    "Write a program that reads a customer's account number (int type), account type (char; s for savings, c for checking), minimum balance that the account should maintain, and current balance. The program should then output the account number, account type, current balance, and an appropriate message."

    I don't think we can you a new variable for the new balance--(I think they mean new "current" balance)??

    This is what I originally had:

    For savings:
    if Balance < 1000
    Balance = Balance - 10.00
    else Balance = Balance * .04 + Balance

    For checking:
    if Balance < 1000
    Balance = Balance - 25.00
    if Balance < 5000)
    Balance = Balance * .03 + Balanace
    if Balance > 5000
    Balance = Balance * .05 + Balance

    I knew something had to be wrong with these since I never used the minimum balance variable I had declared.
    They also suggest testing w/ the data: 123456 S 1000 2700 (account #, account type, minimum balance, current balance)
    Follow Math Help Forum on Facebook and Google+

  4. #4
    Grand Panjandrum
    Joined
    Nov 2005
    From
    someplace
    Posts
    14,972
    Thanks
    4
    Quote Originally Posted by harold View Post
    Hi CB,

    Thanks! The last part of the question is the following:

    "Write a program that reads a customer's account number (int type), account type (char; s for savings, c for checking), minimum balance that the account should maintain, and current balance. The program should then output the account number, account type, current balance, and an appropriate message."

    I don't think we can you a new variable for the new balance--(I think they mean new "current" balance)??
    It looks like you are using a "C" like language here. I don't think there
    can be a restriction on using extra local variables, but if that's what
    you are working to OK. Essentially my "newbalance" can be replaced by
    balance.

    This is what I originally had:

    For savings:
    if Balance < 1000
    Balance = Balance - 10.00
    else Balance = Balance * .04 + Balance

    For checking:
    if Balance < 1000
    Balance = Balance - 25.00
    if Balance < 5000)
    Balance = Balance * .03 + Balanace
    if Balance > 5000
    Balance = Balance * .05 + Balance

    I knew something had to be wrong with these since I never used the minimum balance variable I had declared.
    They also suggest testing w/ the data: 123456 S 1000 2700 (account #, account type, minimum balance, current balance)
    You seem to have hardcoded 1000 in where you should be using the
    minimum balance, also the cut off between low and high interest rate
    on checking account should be 5000 more than the minimum balance.

    RonL
    Follow Math Help Forum on Facebook and Google+

Similar Math Help Forum Discussions

  1. Finance
    Posted in the Business Math Forum
    Replies: 4
    Last Post: October 1st 2011, 09:00 AM
  2. Help on Finance!
    Posted in the Business Math Forum
    Replies: 4
    Last Post: May 11th 2011, 12:47 PM
  3. Finance Help
    Posted in the Business Math Forum
    Replies: 1
    Last Post: November 3rd 2009, 07:33 AM
  4. Finance
    Posted in the Math Topics Forum
    Replies: 3
    Last Post: January 12th 2007, 04:19 PM
  5. Finance
    Posted in the Business Math Forum
    Replies: 2
    Last Post: September 13th 2006, 02:14 PM

Search Tags


/mathhelpforum @mathhelpforum