Find the amount that results from each investment. You MUST use the formulas!!!
1. $500 invested at 8% compounded quarterly after a period of 2
1
2
years.
2. $700 invested at 6% compounded daily after a period of 2 years.
3. $100 invested at 12% compounded continuously after a period of 3
3
4
years.
Find the amount that results from each investment. Use the finance APP on your calculator!!!
4. $50 invested at 6% compounded monthly after a period of 3 years.
5. $3000 invested at 5.75% compounded semiannually after a period of 5 years.
6. $750 invested at 8% continuously compounded after a period of 6 years.

Find the principal needed to get each amount. Use the formulas for #7 & 8 and the Finance APP for #9
& 10.
7. To get $800 after 3
1
2
years at 7% compounded monthly.
8. To get $400 after 1 year at 10% compounded continuously.
9. To get $300 after 4 years at 3% compounded daily.
10. To get $1200 after 2 years at 3.5% compounded continuously.
Solve each of the following using the formulas. Verify your answer using the Finance APP.
11. What rate of interest compounded annually is required to double an investment in 3 years?
12. How long will it take to triple an investment if it is compounded quarterly at a rate of 9%?

Answer the following using either the formulas or the Finance APP on your calculator.
13. If Emma has $100 to invest at 10% per annum compounded monthly, how long will it be before she has $175? If the compounding is continuous, how long will it be?
14. How many years will it take for an initial investment of $10000 to grow to $25000? Assume a rate of interest of 6% compounded continuously.
15. What will a $125000 house cost 5 years from now if the inflation rate over that period averages 3% compounded annually?
16. Ashley has just inherited a diamond ring appraised at $5000. If diamonds have appreciated in value at an annual rate of 8%, what was the value of the ring 10 years ago when the ring was purchased?
17. Frank McCourt purchased the LA Dodgers in 2004 for $430 million. This year, McCourt sold the
Dodgers to the Guggenheim Baseball Management Group for $2 billion. What is the annual rate of return for this investment?
Will invests $2000 in a bond trust that pays 9% interest compounded semiannually. His friend Henry invests $2000 in a CD that pays 8
1
2
% compounded continuously. Who has more money after 20 years,
Will or Henry?