Financial Calculation Examples 1

Time deposit:
If a deposit of $50,000 is made and $52,000 is received after five years at
a 6-month compound interest, what is the annual interest rate?

Set: Payment = End Ajuste: Pago = Fin

n

Period of deposit

5 years

PV

Amount of deposit (principal)

-50,000 dollars

PMT

Amount of credit

0 dollar

FV

Amount to be received (Compound value)

52,000 dollars

P/Y

Number of payments per year

1

C/Y

Interest accrued per year

2

I%

I% = 0.78595454% The necessary annual interest rate.

0.786% The necessary annual interest rate.