{
 "metadata": {
  "name": "EE-3"
 },
 "nbformat": 3,
 "nbformat_minor": 0,
 "worksheets": [
  {
   "cells": [
    {
     "cell_type": "heading",
     "level": 1,
     "metadata": {},
     "source": "Interest Formulas and their Application"
    },
    {
     "cell_type": "heading",
     "level": 2,
     "metadata": {},
     "source": "Example 3.1 Page 29"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initialisation of variable\nP=20000.0;#in rupees\nn=10.0;#in years\ni=18.0;#% per annum\n\n#calculation\nF=P*(1+i/100)**n;\n\n#result\nprint \"Maturity value after 18 years is  \", round(F,3),\" Rupees.\";\nprint \" Ans in the book is not correct\"",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "Maturity value after 18 years is :  104676.711  Rupees.\n Ans in the book is not correct\n"
      }
     ],
     "prompt_number": 1
    },
    {
     "cell_type": "heading",
     "level": 2,
     "metadata": {},
     "source": "Example 3.2 Page 30"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initialisation of variable\nF=100000.0;#in rupees\nn=10.0;#in years\ni=15.0;#% per annum\n\n#calculation\nP=F/((1.0+i/100.0)**n);\n\n#result\nprint \"The person has to invest  \", round(P,3),\" Rupees.\";\nprint \" Ans in the book is not correct\"",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "The person has to invest   24718.471  Rupees.\n Ans in the book is not correct\n"
      }
     ],
     "prompt_number": 5
    },
    {
     "cell_type": "heading",
     "level": 3,
     "metadata": {},
     "source": "Example 3.3 Page 31"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initialisation of variable\nA=10000.0;#in rupees\nn=25.0;#in years\ni=20.0;#% per annum\n\n#calculation\nF=A*(((1+i/100)**n-1)/(i/100));\n\n#result\nprint \"The future sum of the annual equal payment after 25 years is \",round(F,3),\" Rupees.\";",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "The future sum of the annual equal payment after 25 years is  4719810.832  Rupees.\n"
      }
     ],
     "prompt_number": 8
    },
    {
     "cell_type": "heading",
     "level": 2,
     "metadata": {},
     "source": "Example 3.4 Page 32"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initialisation of variable\nF=500000.0;#in rupees\nn=15.0;#in years\ni=18.0;#% per annum\n\n#calculation\nA=F*((i/100)/((1+i/100)**n-1));\n\n#result\nprint \"The annual equal ammount which must be deposited for 15 years is  \",round(A,3),\" Rupees.\";",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "The annual equal ammount which must be deposited for 15 years is   8201.391  Rupees.\n"
      }
     ],
     "prompt_number": 12
    },
    {
     "cell_type": "heading",
     "level": 3,
     "metadata": {},
     "source": "Example 3.5 Page 33"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initiasation of variable\nA=1000000.0;#in rupees\nn=20.0;#in years\ni=15.0;#% per annum\n\n#calculation\nP=A*(((1+i/100)**n-1)/((i/100)*(1+i/100)**n));\n\n#result\nprint \"The amount of reserve which must be setup now is : \",round(P,3),\" Rupees\";\nprint \" Ans in the book is not correct\"",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "The amount of reserve which must be setup now is :  6259331.474  Rupees\n Ans in the book is not correct\n"
      }
     ],
     "prompt_number": 13
    },
    {
     "cell_type": "heading",
     "level": 2,
     "metadata": {},
     "source": "Example 3.6 Page 34"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initialisation of variable\nP=1000000.0;#in rupees\nn=15.0;#in years\ni=18.0;#% per annum\n\n#calculation\nA=P*(((i/100)*(1+i/100)**n)/((1+i/100)**n-1));\n\n#result\nprint \"The annual equivalent installment to be paid by the company to the bank is \",round(A),\" Rupees.\";",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "The annual equivalent installment to be paid by the company to the bank is :  196403.0  Rupees.\n"
      }
     ],
     "prompt_number": 14
    },
    {
     "cell_type": "heading",
     "level": 2,
     "metadata": {},
     "source": "Example 3.7 Page 35"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initiation of variable\nA1=4000.0;#in rupees\nG=500.0;#in rupees\nn=10.0;#in years\ni=15.0;#% per annum\n\n#calculation\nA=A1+G*(((1+i/100)**n-(i/100)*n-1)/((i/100)*(1+i/100)**n-(i/100)));\nF=A*(((1+i/100)**n-1)/(i/100));\n\n#result\nprint \"At the end of 10th year, the compound amountr of all his payments will be : \",round(F,3),\" Rupees.\";",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "At the end of 10th year, the compound amountr of all his payments will be :  115560.6  Rupees.\n"
      }
     ],
     "prompt_number": 15
    },
    {
     "cell_type": "heading",
     "level": 2,
     "metadata": {},
     "source": "Example 3.8 Page 36"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initiation of variable\nA1=8500.0;#in rupees\nG=-500.0;#in rupees\nn=10.0;#in years\ni=15.0;#% per annum\n\n#calculation\nA=A1+G*(((1+i/100)**n-(i/100)*n-1)/((i/100)*(1+i/100)**n-(i/100)));\nF=A*(((1+i/100)**n-1)/(i/100));\n\n#result\nprint \"At the end of 10th year, the compound amountr of all his payments will be : \",round(F,3),\" Rupees.\";",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "At the end of 10th year, the compound amountr of all his payments will be :  138235.878  Rupees.\n"
      }
     ],
     "prompt_number": 17
    },
    {
     "cell_type": "heading",
     "level": 2,
     "metadata": {},
     "source": "Example 3.9 Page 38"
    },
    {
     "cell_type": "code",
     "collapsed": false,
     "input": "#initiation of variable\nP=5000.0;#in rupees\nn=10.0;#in years\ni=12.0;#% per annum\nm=4.0;#no. of interest periods per year for quarterly\n\n#calculation\nN=n*m;\nr=i/m;\nF=P*(1+r/100)**N;\n\n#result\nprint\"Maturity value after 10 years is  \",round(F,3),\" Rupees.\";",
     "language": "python",
     "metadata": {},
     "outputs": [
      {
       "output_type": "stream",
       "stream": "stdout",
       "text": "Maturity value after 10 years is :  16310.189  Rupees.\n"
      }
     ],
     "prompt_number": 18
    }
   ],
   "metadata": {}
  }
 ]
}