LOOPS - Introduction to Java Programming: Comprehensive Version - page 197

December 201 3

Sun Mon Tue Wed Thu Fri Sat

1 2 3 4 5 6 7

8 9 10 11 12 13 14

15 16 17 18 19 20 21

22 23 24 25 26 27 28

29 30 31

*5.30

( Financial application: compound value ) Suppose you save $100 each month
into a savings account with the annual interest rate 5%. So, the monthly interest
rate is 0.05 / 12 = 0.00417 . After the first month, the value in the account
becomes

100 * (1 + 0.00417) = 100.417

After the second month, the value in the account becomes

(100 + 100.417) * (1 + 0.00417) = 201.252

After the third month, the value in the account becomes

(100 + 201.252) * (1 + 0.00417) = 302.507

and so on.

Write a program that prompts the user to enter an amount (e.g., 100 ), the annual
interest rate (e.g., 5 ), and the number of months (e.g., 6 ) and displays the amount
in the savings account after the given month.

*5.31

( Financial application: compute CD value ) Suppose you put $10,000 into a CD
with an annual percentage yield of 5.75%. After one month, the CD is worth

10000 + 10000 * 5.75 / 1200 = 10047.92

After two months, the CD is worth

10047.91 + 10047.91 * 5.75 / 1200 = 10096.06

After three months, the CD is worth

10096.06 + 10096.06 * 5.75 / 1200 = 10144.44

and so on.

Write a program that prompts the user to enter an amount (e.g., 10000 ), the
annual percentage yield (e.g., 5.75 ), and the number of months (e.g., 18 ) and
displays a table as shown in the sample run.