Project: Calculating Future Investment Value

Problem Description:

Write a program that reads in investment amount, annual interest rate, and number of years, and displays the future investment value using the following formula (Note that we are compounding on a monthly basis instead of a yearly basis):

futureInvestmentValue = investmentAmount * (1 + monthlyInterestRate)^{numberOfMonths}

monthlyInterestRate = annualInterestRate/12

For example, if you enter amount 1000, annual interest rate 3.25% (3.25/100), and number of years 1, the future investment value is approximately 1032.99.

Here is a sample run:

Sample:

Enter investment amount: 1000

Enter annual interest rate (in percentage points): 3.25

Enter number of years: 1

Accumulated value is: 1032.9885118105894

What to deliver?

Your .java file including:

1. A sample run at the top with investment amount of 3000, annual interest rate of 5.5%, and 3 years. These should be commented. (2 points)

2. Your code with other appropriate comments. (Code: 5 points, Comments: 3 points)

Hint:

1. CalculateProducts.java in the Classroom Example folder at eLearning provides a good example of a deliverable. It has both the sample run commented and we can run the java file without changing the file.

2. Hint: Use the Math.pow(x, y) method to compute x raised to the power of y.

3. Use the sample run in the instruction to test your program to make sure it is correct before you submit it.