I SAVED, I PROFIT! Situation 1: Suppose you started a savings account when you were 10 years old with P 500.00, but you have not added any amount to it thereafter. a. Creatively make charts showing the patterns which would lead to the formula in computing your savings account now using 3% simple interest and 3% compound interest quarterly. The chart must contain the important details like the table below; Simple Interest Principa Annual Balance at End of Interest the Year 1. Compound Interest t Principal Annual Balance at End of & Interest Interest the Year 1 2 Describe b. between created. difference charts the 3 the you c. Which do you think is best interest when you save money? Situation 2: You started with the same amount at 10 years old, but this time you add P 100.00 a month until you turn 18 years old. a. How much money do you have now assuming it still gets 3% interest? b. How much money did you actually put on it? c. How much was the interest earned?
I SAVED, I PROFIT! Situation 1: Suppose you started a savings account when you were 10 years old with P 500.00, but you have not added any amount to it thereafter. a. Creatively make charts showing the patterns which would lead to the formula in computing your savings account now using 3% simple interest and 3% compound interest quarterly. The chart must contain the important details like the table below; Simple Interest Principa Annual Balance at End of Interest the Year 1. Compound Interest t Principal Annual Balance at End of & Interest Interest the Year 1 2 Describe b. between created. difference charts the 3 the you c. Which do you think is best interest when you save money? Situation 2: You started with the same amount at 10 years old, but this time you add P 100.00 a month until you turn 18 years old. a. How much money do you have now assuming it still gets 3% interest? b. How much money did you actually put on it? c. How much was the interest earned?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:I SAVED, I PROFIT!
Situation 1:
Suppose you started a savings account when you were 10 years old with P 500.00,
but you have not added any amount to it thereafter.
a. Creatively make charts showing the patterns which would lead to the formula in
computing your savings account now using 3% simple interest and 3% compound
interest quarterly. The chart must contain the important details like the table
below;
Simple Interest
t
Principa
Annual
Balance at End of
Interest
the Year
1
2
Compound Interest
t
Principal
Annual
Balance at End of
& Interest Interest
the Year
1
2
the difference
the
b.
Describe
between
created.
3
charts
you
Which do you think
best interest when you save money?
Situation 2:
You started with the same amount at 10 years old, but this time you add P 100.00
a month until you turn 18 years old.
a. How much money do you have now assuming it still gets 3% interest?
b. How much money did you actually put on it?
c. How much was the interest earned?
Transcribed Image Text:Activity
Goal: To create charts through investigations and thorough understanding in order
to show patterns which would lead to the solutions of the problems on simple and
compound interest and general annuities.
Role: Financial Adviser. Making sure that the possible bank depositors will
collaborate on the beneficial interest for their savings.
Audience: Young Bank Depositors
Situation: The Young Bank Depositors will be oriented on the Pros and Cons of
saving money. The students will be presenting which interest is best through their
creatively done charts. Furthermore, they as well demonstrate how they solve the
problems using the concepts they've learned on simple and compound interest.
Product: A Depositors' Forum Presentation
Standards and Criteria for Success:
* Demonstrate an understanding of key concepts of simple and compound
interests, and simple and general annuities.
* Solve problems of simple and compound interest, and general annuities
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