Is this right ?

[burman]

Iam kinda confuse in the time deposit thingee, but do you mean if I time deposit the 150k for a year, then 150k x 0.0065 for a month equals 975 then you carry over all until the 12th month then it equals 11,700 right so that amount plus 150k I will get in the end of the time deposit year?

[rains_delight]

The computation of the interest earned is :

I=P x R x T

where:

I - Interest
P- Principal
R- rate
T- Time

Example A: Using the formula, if you are going to place a time deposit in a year for P150 K, then it will earn interest of P9,750.00

I= 150,000.00 x .065 x 1

I = 9,750.00
===========

Example B: On January 2, 2002 you placed a time deposit of 150K on monthly roll over basis, the the computation of your monthly interest is :

I = 150,000.00 x 0.065 x 30 / 365

I = 801.37
=========

This will amount will be added to your principal on February 2002: ergo:

I = 150,801.37.00 x .065 x 30/365

I= 805.65
=======

This amount will again be added to the P150 k, thus:

I= 150,805.65 x .065 x 30/365

I= 805.67
========

[burman]

Salamat rains_delight

[rains_delight]

Originally posted by burman
Salamat rains_delight

Wala pong anuman. If you need assitance from an accountant, do not hesitate to pm me. I am willing to help my co pexer. :)