# Thread: Finding the future value F of the following ordinary annuities.

1. ## Finding the future value F of the following ordinary annuities.

1. Monthly paymentsof P3,000 for 4 years with interest rate of 3%
compounded monthly
F = 152,793.70
2. Quarterly paymentof P5,000 for 10 years with interest rate of 2%
compounded quarterly
F = 2,239,232.20
3. Semi-annualpayments of P12, 500 with interest rate of 10.5%
compoundedsemi-annually for 6 years
F = 201,867.60
4. Annual paymentsof P105,000 with interest rate of 12% compounded
annually for 5 years
F = 667,048.10
5. Daily payments ofP20 for 30 days with interest rate of 20%
compounded daily for1 month
F = ?

Hello! I just want to ask if my answer from 1 to 4 is correct, I'm having a trouble on the last one, any help will be greatly appreciated.

2. You seem to be having trouble with all of them. Please show your work.

If your work is pushing buttons on a calculator, that's fine. Tell us what calculator and what buttons.

It's difficult to direct you when you show only the final result.

3. Originally Posted by tkhunny
You seem to be having trouble with all of them. Please show your work.

If your work is pushing buttons on a calculator, that's fine. Tell us what calculator and what buttons.

It's difficult to direct you when you show only the final result.
So, all of it is wrong?

4. Originally Posted by IEvolve
5. Daily payments of P20 for 30 days with interest rate
of 20% compounded daily for 1 month
F = ?
"for 1 month" not required...

a = 20
n = 30
i = .20/365

First 4 are correct.

5. Opinions vary because you have not specified the payment timing. It is not typical for accumulations to pay at the END of each period. Mr. Dennis has validated your odd assumption. Try paying at the beginning of each period and see if you get a different answer.

6. Originally Posted by tkhunny
Mr. Dennis...
TK, that should be Mr. Denis, Esq

a simple looper program showing each calculation.
As example, 1000 annually, 10% annually, 4 years:
Code:
YEAR   DEPOSIT   INTEREST    BALANCE
1    1000.00        .00    1000.00
2    1000.00     100.00    2100.00
3    1000.00     210.00    3310.00
4    1000.00     331.00    4641.00
By formula:
d = 1000
r = .10
n = 4
f = d[(1 + r)^n - 1] / r = 4641.00
HOKAY?

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