Invest
(Post 38/week 26)Tip for thought:khan academy investment lesson 1 short summary
By Sonicericsg  •  July 12, 2018


1)How long does it take to double your money?
Use the rule of 72 to calculate For example, if the percentage is 10% annually, you will take 72/10=7.2 yr to double your money 2)Calculating simple interest

P=principles amount
I=interest
T=time

After 1 year, which means t is 1 Amount to pay after 1 years=p+p So assuming the principal amt is 50dollar and the interest is 15% After 20 years 100%=50 15%=7.5 20*15=150 The total is 150+50=200
3)Calculating compound interest

P=principle amount
I=interest
T=time
N=number of time that will be compound in that year

Formula for calculating compound interest:P((1+(r%/n))^(n*t) simplified to p(E^r%t)

E.g principle of an amount is $50 Time: Have to pay for 3 years N=number of time that will be compound is 4 I=interest is 10% compound annually 50((1+(0.10/4))^(3*4) =67.49
4)
A debtor=the person that borrow the money A creditor=the person that is owed

5)

Asset=an asset is something that will give you economic benefits in the future Cash is...
Read the full article
By Sonicericsg
Hi everyone, I'm soniceric, my real name is of course not soniceric, it's just Ericsson :) The reason I name this blog as soniceric is a word play on the brand of "sony Ericsson" hence soniceric(geddit?) I am currently a 22 years old nsf who is about to ord soon and receiving a paltry ns allowance of $800 per month. To date, I have managed to save more than 10k and have already use the money for various purpose(emergency fund, peer to peer lending,posb invest saving and stocks, trading etc).
LEAVE A COMMENT
LEAVE A COMMENT

Your email address will not be published.

*

Your Email Address will not be published
*

Read More Articles
More from thefinance