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Accrued Interest - 360 Day Basis
What is the amount of accrued interest and the net
amount on $450 for 50 days at 7%, figured on a 360-day basis?
 450  50  7   = 4.38 (accrued interest)  454.38 (net amount) |
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Accrued Interest - 365 Day Basis
What is the amount of accrued interest and the net
amount on $450 for 50 days at 7%, figured on a 365-day basis?
450 50 7   = 4.32 (accrued interest) = 454.32 (net amount) |
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| Note that accrued interest calculations for both 360 and 365 days are calculated in the same step: X = accrued interest (360-day basis), Y = principal, Z = accrued interest (365-day basis) |
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Discounted Notes
Calculate the discount amounts and annual yields on a discounted note having a face value of $1000 discounted at 6%, for 37 days.
37 6 1000  = 6.17 (discount, 360-day basis) = 6.04 (annual yield, 360-day basis) = 6.08 (discount, 365-day basis) = 6.04 (annual yield, 365-day basis) |
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Future Value of Compounded Amount
What is the future value of $500 invested at 6% for 7 years if interest is compounded annually?
7 6 500 = 751.82 |
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Rate of Interest for Compounded Amount
What annual rate of interest must be obtained in order to
amass a total of $10,000 in 10 years on an investment of $6,000?
10 6000 10000 = 5.24 |
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Number of Periods for Compounded Amount
You now have $887 in a savings account paying 5.4% compounded monthly. How long will it take to reach one million dollars? (This example assumes that K contains the default value 12.)
5.4   887 1000000 = 1565.21 (months) = 130.43 (years) |