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Ray v | Interest on 1,200 dollars at 5% for ten years? |
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 |
 
Curious
|
If this is a fully amortized loan (you plan to pay off the whole amount in 10 years with equal payments monthly) than the calculator below is very useful. Ignore the fact that it is an auto loan calculator. Once you plug in all the variables click on "show amortization table" and it will show a month by month progression. Really useful!
http://bankrate.com/brm/auto-loan-calculator.asp |
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Heinz M
|
Compounded annually, interest is $754.67
Compounded monthly $776.41
1.05^10
1.62889462677744140625
answer*1200
1954.6735521329296875
answer-1200
754.6735521329296875 |
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patrickmcc55
 |
year 1: 1260
year 2 1323
year 3 1389
year 4 1459
year 5 1531
year 6 1608
year 7 1689
year 8 1773
year 9 1862
year 10 1973 |
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Newbee
 |
you all are confusing me!!! :) |
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Soulfulgrl
|
Me too..... |
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hljadds
|
How often is it compunded? Annually, semi annually, monthly, weekly, daily? That will change the answer.
Compounded annually
1200 x .05 = 60 then add to 1200
1260 x .05 = 63 then add 63 to 1260
1323 (and so on for 10 periods)
Compounded semi annually
1200 x .025 = 30 then add to 1200
1230 x .025 = 31 then add to 1230
1261 (and so on for 20 periods) |
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PaRtY AnGeL
|
formula is PXrXt
where P=1200, r=5% , t = 10 yrs
Interest = 1200 X 5 /100 X 10
= 600 dollars |
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Pat
 |
I=prt
I=1200(.05)(10)
I=60(10)
I=600
so the intrest would be $600.00 |
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