#484,800. 100% sure

YEAR 01:
24000 X 0.12 = 2880
2880 + 24000 = N26,880.00

YEAR 02:
(26880 + 24000) X 0.12 = 6105.6
6105.6 + 26880 + 24000 = N56,985.6

YEAR 03:
(56985.6 + 24000) X 0.12 = 9718.3
9718.3 + 56985.6 + 24000 = N90,703.9

YEAR 04:
(90703.9 + 24000) X 0.12 = 13764.5
13764.5 + 90703.9 + 24000 = N128,468.4

YEAR 05:
N170,764.6

YEAR 06:
N218,136.4

....
....
....

YEAR 19:
(1498619.8 + 24000) X 0.12 = 182714.4
182714.4 + 1498619.8 + 24000 = N1,705,334.2

YEAR 20: (FINAL YEAR)
(1705334.2 + 24000) X 0.12 = 207520.1
207520.1 + 1705334.2 + 24000 = N1,936,854.3

Total Amount (Deposit + Interest) = N1,936,854.3

HOPE CBN HIRES ME
Whatsapp/Call 08028178405
seighapaul1@yahoo.co.uk

1,978,510.73

Correct approach,
if your arihtmetic is correct then the answer is.

Most people arent factoring the 24k annual income, which must be added to the amount (interest+principal) from the previous year before the interest for the year in question is computed

In other words, for every year after the first, your principal for the computation of interest for that year = (amount from previous year)+(annual income)

By the way , there's a little misrepresentation, check your post... what you're indicating as the interest (I) is in fact the amount

AdimGreat:
#1,936,769.653.
It is compound interest. The principal changes every year hence interest will be calculated 20 times with the new principal.

The correct answer in #1,936,769.71

MyFlair:
if u studied petroleum engineering then this wud be a cheap a number crunching for u. Pet engrng just makes one jack of all trades n wud require u to b master of all!

.....like seriously, I tot it's only in my school dat dey treat petroleum students like dat o,Attimes I always wonder what some of d courses m taking gotta do some of my courses...God dey sha

Hw much u will save is 480000,

walexy30:
I save N2000 every month in a bank with an annual interest rate of 12% for 20 years while still working. How much will i receive at the end of the period (20 years).

Annuity

Remember the question asked is how much you will save so it's 480000

Are you suggesting you didn't do this in primary school? Standards have truly fallen.

Wrong
note, he save 2000 every month.
Therefore his yearly savings is #24000

4,848000

Save 2000 per month
therefore, 24000 per year
Using compound interest formuar
fv=24000(1+0.12)^20
=#231511.03

seighapaul:
YEAR 01:
24000 X 0.12 = 2880
2880 + 24000 = N26,880.00

YEAR 02:
(26880 + 24000) X 0.12 = 6105.6
6105.6 + 26880 + 24000 = N56,985.6

YEAR 03:
(56985.6 + 24000) X 0.12 = 9718.3
9718.3 + 56985.6 + 24000 = N90,703.9

YEAR 04:
(90703.9 + 24000) X 0.12 = 13764.5
13764.5 + 90703.9 + 24000 = N128,468.4

YEAR 05:
N170,764.6

YEAR 06:
N218,136.4

....
....
....

YEAR 19:
(1498619.8 + 24000) X 0.12 = 182714.4
182714.4 + 1498619.8 + 24000 = N1,705,334.2

YEAR 20: (FINAL YEAR)
(1705334.2 + 24000) X 0.12 = 207520.1
207520.1 + 1705334.2 + 24000 = N1,936,854.3

Total Amount (Deposit + Interest) = N1,936,854.3

HOPE CBN HIRES ME
Whatsapp/Call 08028178405
seighapaul1@yahoo.co.uk

wrong: check this
Save 2000 per month
therefore, 24000 per year
Using compound interest formuar
fv=24000(1+0.12)^20
=#231511.03

ojmaroni247:
Dis calculation is on a long tin,uhave to calculate for each year and add de interest to de next year and keep calculating until u get to de 20th year.crzy men!

You could write a simple C/C++ code to do it for you!

Kemmy210:
#484,800. 100% sure

what of this dear
Save 2000 per month
therefore, 24000 per year
Using compound interest formuar
fv=24000(1+0.12)^20
=#231511.03

You are all Olodos

Here we go:

Interest is calculated on his saving per annum and he was saving #2000 every month.

#2000 ×12 months = #24,000(12% interest pa)
This ll give you #2,880 (first year interest)

2nd yr saving is #48,000(12% interest pa)= #5,760

3rd year saving is #72,000(12% interest rate pa)=#8,640

All d way to 20yrs

Then multiply this #2,880 interest of the first year with total years of interest which is 20yrs and what you would get is #57,600 as interest for 20yrs.

Then add the 20yrs total interest to all his saving over that period that is interest receivables + total savings( #57,600 + 480,000=537,600).

Receivables is #537,600.

eby35:


what of this dear
Save 2000 per month
therefore, 24000 per year
Using compound interest formuar
fv=24000(1+0.12)^20
=#231511.03

No matter what,u mustn't have less than #480,000 which is the main money saved apart from the interest so we shd watch the formula we use.

eby35:


what of this dear
Save 2000 per month
therefore, 24000 per year
Using compound interest formuar
fv=24000(1+0.12)^20
=#231511.03

Na so u fail mathematics with flying colors

THE LOGICAL SOLUTION

YEAR 01:
24000 X 0.12 = 2880
2880 + 24000 = N26,880.00

YEAR 02:
(26880 + 24000) X 0.12 = 6105.6
6105.6 + 26880 + 24000 = N56,985.6

YEAR 03:
(56985.6 + 24000) X 0.12 = 9718.3
9718.3 + 56985.6 + 24000 = N90,703.9

YEAR 04:
(90703.9 + 24000) X 0.12 = 13764.5
13764.5 + 90703.9 + 24000 = N128,468.4

YEAR 05:
N170,764.6

YEAR 06:
N218,136.4

....
....
....

YEAR 19:
(1498619.8 + 24000) X 0.12 = 182714.4
182714.4 + 1498619.8 + 24000 = N1,705,334.2

YEAR 20: (FINAL YEAR)
(1705334.2 + 24000) X 0.12 = 207520.1
207520.1 + 1705334.2 + 24000 = N1,936,854.3

Total Amount (Deposit + Interest) = N1,936,854.3

HOPE CBN HIRES ME
Whatsapp/Call 08028178405
seighapaul1@yahoo.co.uk

I may not know maths that much but I know MS Workbook.

1,978,510 and 1,998,295.10

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

Chartered Accountant has answered the question on behalf of all Nairaland. The answer is #537,600.

It's quite straight forward.

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

Olodo oshi

No be only 1.9million, na #9 billion......

You no dey shame

1936769.653 I rest my case

1,978,510 and 1,998,295.10

See the workings below

At the end of the 20th year he will receive 19292.5861 approx.....

Basically, the first #2000 at 12% per annum for 20 years will give you an interest of #4,800. As the month goes by, the interest will be reducing by #20 each month for each new #2000 payment. Therefore, the last #2000 will give an interest of #20 since it will spend just a month before the 20 years becomes complete.
Using the formula for sum of a sequence with a (first interest)=4,800 and l (last interest) = 20,
Sn(total interest) = n/2 (a + l), n= 240 months in 20 years.
= 240/2 (4800 + 20) = 120(4820)
=#578400
You'll get a total cash of #1,058,400 comprising of;
Interest= #578,400
and Your Principal = #2000 * 240 months = #480,000.

Cc: Walexy

Thanks baba...



quote author=Weah96 post=36999373]

Correct. The steps are correct. But it's for those with the patience.[/quote]

GentleToks:


Olodo oshi

No be only 1.9million, na #9 billion......

You no dey shame

so you swallow the accumulated interest during the years abi ?