Knowee
Questions
Features
Study Tools

The interest value I of a principal P, after n number of years for an interest rate i and a future value F is given as:

Question

The interest value I of a principal P, after n number of years for an interest rate i and a future value F is given as:

I=FP I = F - P

🧐 Not the exact question you are looking for?Go ask a question

Solution

It seems like you've started to describe a formula but didn't finish. However, based on what you've provided, it sounds like you're referring to the formula for compound interest. The formula for compound interest is:

F = P(1 + i)^n

Where:

  • F is the future value of the investment/loan, including interest
  • P is the principal investment amount (the initial deposit or loan amount)
  • i is the annual interest rate (in decimal)
  • n is the number of years the money is invested or borrowed for

If you want to find the interest value (I), you can rearrange the formula to:

I = F - P

This is because the interest is the future value minus the principal.

Please provide more information if you were referring to a different formula or concept.

This problem has been solved

Similar Questions

Rs.1500 is invested at 10% S.I. and interest is added to the Principal after every 5 years. In how many years it amounts to Rs.2500 ?

The S.I. on a Sum of money will be Rs.600 after 10 years. If the Principal is tripled after 5 years, what will be the total interest at the end of 10th year?

ind the present value of a payment §200 at the end of 5th year under theforce of interest 9.00% per annum.

Find the future value at the end of 5 years of $900 invested today at an interest rate of 17 per cent.a.$1992.1b.$1968.62c.$1976.5d.$1973.2

A sum of money amounts to ₹1,800 when invested at 6.25% p.a. simple interest for a period of eight years. Find the principal.

1/3

Upgrade your grade with Knowee

Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.