A questions about compounding interest on a college fund?
604234
You need to use the formula for the future value of an annuity to solve this.  This formula is:\n\nF = (P/R)*[(1+R)^K -1]\n\nwhere\n\nK is the number of investment periods\nR is the periodic interest rate\nP is the periodic investment amount\nF is the value after K investment periods\n\nIn your case, the investment period is quarterly, so there will be 20*4 = 80 investment periods in 20 years.\n\nThe periodic investment rate is the annual investment rate divided by 4:  0.076/4 = 0.019\n\nF is the amount desired after 20 years = $200,000.\n\nWe need to solve for P, the quarterly investment amount.\n\nRearranging the above equation to solve for P, we get:\n\nP = F*R/[(1+R)^K - 1]\n\nP = 200,000 * 0.019/[1.019^80 -1]\n\nP = 1,083.39598.  Call it $1,083.40 <g>.\n\nYou can use the calculators at the second and third sources below to do these calculations on-line.  The first source gives the derivation of the actual formula for the future value of an annuity (and related formulas).
331983
you don't want to find that out. penalties and interest can get costly. if you did this i suggest you amend the return asap.
743411
I will assume that the interest is simple and compounded annually, just to make the question easier.\n\nYou will reach $1million (US system) 97 years later, at the age of 115.  $1,035,358, actually.\n\nI used a simple formula with an Excel spreadsheet to figure this out.
1010683
If you take out a loan, the amount you are loaned is called the "principle". The bank loans it to you at a certain rate called the interest rate. You have to pay back the principle, PLUS the interest, over the life of the loan.\n\nIf your loan has compound interest, you not only have to pay back interest on the principle, but interest on the unpaid interest itself. To compute the amount of compound interest, you have to take the "life" of the loan (the amount of time the principal is loaned for) and divide it by some interval, called a payment interval. You also divide the interest rate by the same interval. Then you can compute the amount of unpaid interest over that interval, and the interest on the interest.\n\nIn continuous compounding, the payment interval is essentially zero, resulting in an infinite number of infinitely small payments. It turns out that for problems of this type, there is a mathematical limit toward which the payment converges as the interval gets closer and closer to zero; so you can use that mathematical limit to determine the amount of the interest under continuous compounding.
894668
the equation for interest is I=p*r*t\n\nso plug in 400 for I, 5000 for P and 4 for T(time) in years:\n\n400=5000*r*4\n\nthen you just solve for R\n\n\nhope that helped
642311
interest-SIMPLE INTEREST
720450
Starting with $2000 at .026% per month compounded monthly for 12 months equals........ 6.77 for the year. 6.77 divided by 2000 equals .3385% APR. Interest rate at .026% per month multiplied by 12 month equals a .312% yearly rate.\n\nBut I could be wrong
1148271
Depends what type of fund, your age, and what your family's goals are. Probably anything middle-risk mutual fund should be fine so long as you and/or your wife have a steady income.\n\nYou should also check with your investing company if they offer a tax deferred college savings program.
664621
Is it simple interest or compound interest?\nSimple interest:\nI = Prt\nCompound interest:\nI = P(1+r/n)^(nt) - P\nP = 100,000, r = .10 and t = 3\nFor simple interest:\nI = 100,000(.10)(3)\nI= 30,000\nFor compound interest:\nI = 100,000(1+.10/1)^3 - 100,000\nI = 133100-100000\nI = 33,100
1072634
There are 2 types of interests, simple and compound. My assumption is you are talking about simple interest. In simple interest, the interest remains the same over the time period, in compound interest, the interest increases. \n\n For simple interest, this are the things you need.\n I = the interest.\n r= rate (in percentage)\n t= time frame (mostly per annum)\n p= principal amount\n\nthe formula is\n I = (p x rx t) / 100 \n solving for r gives you this results,\n\nr = (100 x I) / (p x t) \n\n This is for general Maths. For specific fields, you'll have to check    for it in that field, or you'll have to mention it.\n \n Take care.
461448
Definitely not. While the interest you'll have to pay is fixed, the gains from investing in stocks are not (especially IPOs which are extremely risky, usually individual investors stay away from those). If you're going to invest in anything, buy a bond (assuming it's coupon rate is a lot higher than the interest you'll be paying on your loan, which is probably unlikely). As a rule of thumb, investing is for people who have extra money.
149317
There really are no calculations because they are not charging you ANY interest at all (probably for a certain amount of time only, right?) You will only be paying the Principle during that time, which means you are making a payment that actually reduces the total cost by the exact amount you pay.  WHen interest begins accruing, then each payment you make will be partially going to the product cost (prinicple) and partially to the interest cost (the creditor's profit for lending the money).  There is no better interest rate than 0%.  So, good going!
152686
Mortgage Interest and Student Loan Interest
32132
That depends so much on how old you are and if you have any other money on hand for emergencies etc.  Maybe you could give more of those details.\n\nOK, now we have your age and amount:\n\nYou will probably be needing this money to pay for college in about 3 years.  If so, you would not want to put it in the stock market.  You should put it in something safer (e.g. a 3-year CD, or perhaps I-Bonds).  You should also consider having your parents put the money into a 529 plan for your college.  This depends somewhat on how you came by the money (did you earn it, could it be treated as your parents money, etc.).\n\nIf you don't need it for college, and you know you can leave it for 10+ years you should open an account with someone like Vanguard and put it in a no-load stock market index fund.  I don't know if you can open an IRA at your age, you could check into that as well.
195821
The answer to your question, It will compound to $315,012.50 dollars in 20 years.\nOne of the easy way to caculate compound, you can do it online at Moneychimp.com.  Click on the link below.\n\nhttp://www.moneychimp.com/calculator/compound_interest_calculator.htm
1126484
COMPOUND INTEREST\n---------------------------------\n\n S = P (1 + I) n \n\nwhere:\n\nS = the future value\n\nP = the principal amount\n\nI = the periodic rate of interest*\n\nn = the # of compounding periods for the term of the loan\n--------\n\nFor example,\n\nIf the principal amount is $10,000, the periodic rate of interest is 10% and the # of compounding periods is 6, what is the value at maturity?\n\nS = P (1 + I) n \n\nS = $10000 (1 + .10) 6\n\nS = $ 17715.61\n\nhttp://homepages.cambrianc.on.ca/tutorial/thetutorialcentre/mathscience/math/compound_interest.htm\n\n\nSIMPLE INTEREST \n------------------------------\n\nAt start:\n\nT = P\n\nAfter 1 period:\n\nT = P + Pr = P(1 + 1r)\n\nAfter 2 periods:\n\nT = P + Pr + Pr = P + 2Pr = P(1 + 2r)\n\nAfter 3 periods:\n\nT = P + Pr + Pr + Pr = P + 3Pr = P(1 + 3r)\n\nAfter n periods:\n\nT = P(1 + nr)\n\n--------------------\nWhen money is borrowed, interest is charged for the use of that money for a certain period of time. When the money is paid back, the principal (amount of money that was borrowed) and the interest is paid back. The amount to interest depends on the interest rate, the amount of money borrowed (principal) and the length of time that the money is borrowed. \nThe formula for finding simple interest is: Interest = Principal * Rate * Time. If $100 was borrowed for 2 years at a 10% interest rate, the interest would be $100*10/100*2 = $20. The total amount that would be due would be $100+$20=$120. \n\nSimple interest is generally charged for borrowing money for short periods of time. Compound interest is similar but the total amount due at the end of each period is calculated and further interest is charged against both the original principal but also the interest that was earned during that period. \nhttp://www.learningwave.com/lwonline/percent/interest.html\n\n\n\nhttp://www.aaamath.com/g84-simple-interest.html \na calculater ..
998852
They just break down the price of the stock or fund as a percentage. If you invested 25.00 and the price of the stock is 50.00 you would have you have a 50% or a half unit. This is a common practice for mutual funds and other investing vehicles. It allows you to decide how much money you want to contribute, and they can put your total allotment to work for you, instead of having to wait until you have enough money to buy a full share or unit.