Calculate the size of principal that must be deposited now

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Reference no: EM13906742

a. Calculate the length of time for which £3500 must be deposited if it is to amount to £10000 when the annual compound rate of interest is 5.5%.

b. Calculate the size of the principal that must be deposited just now if a terminal sum of £20000 is to be obtained after 10 years when the annual compound rate of interest for the period is 9.9%.

Reference no: EM13906742

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Calculate the size of principal that must be deposited now : Calculate the size of the principal that must be deposited just now if a terminal sum of £20000 is to be obtained after 10 years when the annual compound rate of interest for the period is 9.9%.

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