₦airaland Forum

walexy30:
I was banned for 24hrs by NL Antispam BOT. Whatever that means. Let me thank Mr. C.A Jegede of LASU (Banking & Finance Dept.) for his educative textbook titled 'Fundamentals of Investment Decisions'. Greetings to all LASU Banking & Finance Dept. (School of Part time Studies Degree Ojo) 2006/2007 set.

Solution: The formula is Annuity Cash flow formula FV annuity= CF(1+i)^n -1 (division)
. i
CF= Cash flow
n= number of times deposit was made
i= interest rate

From the Question,
CF = 2,000

n= 20 years x 12 months=240 times

i = 12%/12 months to get the monthly interest as 1%
or 0.01

Let's input these in the formula above

. 2,000. {1+0.01}^240. - 1. (division)
. 0.01

. (1.01]^240) -1. (division)
. 0.01

. 10.89255-1. (division)
. 0.01

. 9.89255. (division)
. 0.01

. 989.255

. Now, multiply it by the CF of 2,000

2,000 x 989.255

N1,978,510 Approx.

So, After 20 years, I will receive the above sum. This can be applied in real life as you can plan the financial future of your child. Thank you all for making the thread a huge success.

Thank you Walexy30 for this challenging post. If I should rate it I will rate it the best post for the year in NL. More of it.

Walexy30, try to understand ur question very well. the question did not say "with a monthly interest rate of 1% which will amount to 12% interest yearly" but the question says " with an annual interest rate of 12%" which implies that the interest will not be charged on monthly basis but yearly. After each year the interest is calculated and added to the total savings to date. From your calculation you calculated the interest on monthly basis for a period of 240 months which should not be so. The question is after yearly (20 years) interest and not monthly interest. Thank you.

shrink007:
You get a total of 1,936,769.71 at the end of 20 years. I know i'm correct

You are 100% correct.
I got the same answer.

The correct answer in #1,936,769.71

Thanks. The timing belt cut on motion, almost all the valve got bent and we couldn't get replacement. I am now faced with getting another cylinder or s complete engine.

[color=#006600][/color] "INTERPRETER GENERAL OF THE FEDERATION" lol




me ha no deh o!!!!!!!!!!!!!!!!!!!!!!

Please, can any body help me, I need a complete engine for my saloon car: Fiat Marea 16v, 1998 model. Can I get? and if yes, where can I get it? Thanks.

APCcccccccccccccccccv!!!!!!!!!!!!!!!!! All nah lie. it s politics. The only want to confuse people. Kwarans don't mind dem o. They are only trying to weaken ur mind. BE STRONG, VOTE PDP!!!

I expect change in Kwara state, PDP may likely win if the presidential election result did not weaken the opposition party.