This lesson you will learn how to solve problems involving rate of interest and time in compound interest.

Solve each problem and rearrange the number and or remove the excess number to get the correct answer. 1. If you deposit P5,000.00 into an account paying 10% 5 9 7 5 annual interest compounded quarterly, how long until there is P9,000.00 in the account? 2. If you deposit P8,000.00 into an account paying 9% annual 2 2 interest compounded monthly, how long until there is P20,000.00 in the account? 3. If you deposit P10,000.00 into an account paying 8.25% 7 4 7 2 annual interest compounded semi-annually, how long until there is P18,700.00 in the account? 4. At what nominal rate compounded quarterly should 3 3 5 2 an amount of P10,000.00 be invested if it will earned P50,000.00 after 5 years? 5. At what nominal rate compounded monthly should 5 1 3 6 an amount of P15,000.00 be invested if it will earned P60,000.00 after 4 years? 6. At what nominal rate compounded semi-annually 1 1 3 1 should an amount of P35,000.00 be invested if it will earn $75,000.00 after 6 years