"APPROXIMATION of TIME, COMPOUND INTEREST. The nominal annual rate % of compounding is ANNRATE%, the compounding period in months is CMPERIOD. = 1/30, for daily, = 1 for monthly, =3 for quarterly, =12 for yearly. FREQCONV is the number of compoundings in one year. NPERIODS is number of compounding periods in the term NUMYEARS. RATE%PER is the nominal rate % per compounding period. ACCUMVAL is the value of the PRINCIPL after NUMYEARS of compounding at a nominal annual rate of ANNRATE%. CMPINT is actual interest andEFFRATE% is effective annual interest rate. *** Answers to problems *** (c) PCSCC, Inc., 1993 (a) Set ACCUMVAL=8000, ANNRATE$=8, CMPERIOD=1/30 (mo/day), PRINCIPL=4000. The result is NUMYEARS=8.67. It will take 8 2/3 years for principal to double. Type any key to exit. ||(a) In what time NUMYEARS will $4000 amount to $8000 if compounded daily at 8% simple annual interest? Type , to see answers. Type (F2) to return to help file."
