Ask Me Help Desk

Ask Me Help Desk (https://www.askmehelpdesk.com/forum.php)
-   Finance & Accounting (https://www.askmehelpdesk.com/forumdisplay.php?f=411)
-   -   Compounded ? (https://www.askmehelpdesk.com/showthread.php?t=325522)

  • Mar 5, 2009, 06:47 PM
    ga2000
    Compounded ?
    Suppose you have $2,000 and plan to purchase a 3-year certificate of deposit (CD) that pays 4% interest, compounded annually. How much will you have when the CD matures
  • Mar 7, 2009, 09:38 AM
    pready

    You need to use a Future Value of $1 table to get the interest factor. The interest factor will be at 3 periods @ 4% interest. Take this number * your $2,000 to get your answer.

    This table is in accounting textbooks as well as in a finance textbook.

  • All times are GMT -7. The time now is 05:01 AM.