Application of Ap/GP 2

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January 30th 2009, 10:20 PM
nikk

Application of Ap/GP 2

i invest RM 500 at a fixed amount rate interest of 5%. At the and of the first year i shall have RM 525 in my account. I live the money in the account for 6 years.
(a) after how many years will my account first have more than RM 600?
(ans:4)

(b) How much money shall i have in the account at the end of the sixth year?
(ans: rm 670.04)

tq for your time
nik
January 30th 2009, 11:31 PM
princess_21

Quote:

Originally Posted by nikk

i invest RM 500 at a fixed amount rate interest of 5%. At the and of the first year i shall have RM 525 in my account. I live the money in the account for 6 years.
(a) after how many years will my account first have more than RM 600?
(ans:4)

ur answer is correct
I=Interest
P=Principal Amount
R=RAte
T=Time

$T=\frac{I}{PR}$

$T=\frac{100}{500*.05}$

$T=\frac{100}{25}$

$T=4 years$

Quote:

(b) How much money shall i have in the account at the end of the sixth year?

(ans: rm 670.04)

$I=PRT$

$I = 500*.05 * 6$

$I = 150$

then add the principal and interest
500+150 = RM 650 after 6 years

i have a different answer for no. 2
January 31st 2009, 12:36 AM
nikk

Quote:

Originally Posted by princess_21

ur answer is correct
I=Interest
P=Principal Amount
R=RAte
T=Time

$T=\frac{I}{PR}$

$T=\frac{100}{500*.05}$

$T=\frac{100}{25}$

$T=4 years$

$I=PRT$

$I = 500*.05 * 6$

$I = 150$

then add the principal and interest
500+150 = RM 650 after 6 years

i have a different answer for no. 2

tq for your help ...

do u know how to use progression (AP or GP) to solve both of the question??
February 2nd 2009, 01:24 AM
ADARSH

Quote:

Originally Posted by nikk

do u know how to use progression (AP or GP) to solve both of the question??

(Hi)The interest is charged for 4 years
Each year the interest remains same

P*R hence it becomes the common difference

and the Principal(P) is the first term of AP

Hence you needed to find the 5th term (ie; end of 4th year) using
$T_n=a+(n-1)d$

where d is common difference , a is the first term and n is the term number(Nod)