Finance: Following Formula

Finance Lecture 2 Online practice exercises:
1 of 3 ID: ACST201.01.102.L
Calculate the accumulated (future) value (S) when $70,000 is invested at 2.04% pa simple interest for 380 days. Give your answer in dollars and cents to the nearest cent.
S = $
[1 out of 1]- Feedback
Your answer is within an acceptable range of the correct answer and you have received full marks.
Calculation
The accumulated value can be calculated using the following formula: show variables
P
= amount invested
=
$70,000

r
=
simple interest rate (decimal) = 2.04% = 0.0204 t = time period (years)
=
380
365

=
1.04109589...

S
=
accumulated value
=
unknown

S
=
P(1 + rt) =
70,000 × (1 + 0.0204 × 1.04109589...) =
70,000 × 1.02123836... =
71,486.68493151...

=
$71,486.68
Rounded as last step

2 of 3 ID: FMTH.SI.AI.01c.L
Ratna invested $7,000 into a MRMC Bank account for 24 quarters at 9.5% pa simple interest. Calculate how much interest (I) was earned. Give your answer in dollars to the nearest dollar.
I = $
[1 out of 1]- Feedback
You are correct.
Calculation
The amount of interest earned can be calculated using the following formula: show variables
P
= amount invested
=
$7,000

r
=
simple interest rate per annum (decimal) = 9.5% = 0.095 t = term (years)
=
24
4

=
6

I
=
amount of interest earned
=
unknown

I
=
P.r.t =
7,000 × 0.095 × 6 =
$3,990

3 of 3 ID: FMTH.SI.AI.02a.L
On 2 July 2013 Kam Fai deposited $4,000 at 9% pa simple interest. If this money is withdrawn on 20 September 2013, calculate the amount of interest (I) that will be received. Give your answer in dollars and cents to the nearest cent. This days between dates calculator may assist you.
I = $
[0 out of 1]- Feedback
This is not correct.
I = $78.90
Calculation
Days Between Dates
To solve this question we must first determine the number of days involved. The time period between the two dates