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Oppiskele Challenge: Predicting Savings Growth | Sets and Series
Mathematics for Data Science

bookChallenge: Predicting Savings Growth

Tehtävä

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A financial advisor helps his clients predict their future savings based on monthly deposits and interest rates. You are given the savings growth function, modeled as a geometric series:

A=P(1+rn)ntA = P \left( 1 + \frac{r}{n} \right)^{nt}

Where:

  • AA - total amount after interest;
  • PP - principle (Initial deposit);
  • rr - annual interest rate;
  • nn - number of times interest compounds annually;
  • tt - time in years.

  1. Calculate the total savings after 20 years, given the following:
    • Initial deposit P=10000P = 10000;
    • Interest rate r=8%r = 8 \% (0.08 as decimal);
    • Compounded monthly n=12n = 12;
    • Time 20 years t=20t = 20.
  2. Determine how much interest contributes to the total savings.

Ratkaisu

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Osio 2. Luku 6
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bookChallenge: Predicting Savings Growth

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Tehtävä

Swipe to start coding

A financial advisor helps his clients predict their future savings based on monthly deposits and interest rates. You are given the savings growth function, modeled as a geometric series:

A=P(1+rn)ntA = P \left( 1 + \frac{r}{n} \right)^{nt}

Where:

  • AA - total amount after interest;
  • PP - principle (Initial deposit);
  • rr - annual interest rate;
  • nn - number of times interest compounds annually;
  • tt - time in years.

  1. Calculate the total savings after 20 years, given the following:
    • Initial deposit P=10000P = 10000;
    • Interest rate r=8%r = 8 \% (0.08 as decimal);
    • Compounded monthly n=12n = 12;
    • Time 20 years t=20t = 20.
  2. Determine how much interest contributes to the total savings.

Ratkaisu

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Oliko kaikki selvää?

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Kiitos palautteestasi!

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Completion rate improved to 1.89
Osio 2. Luku 6
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