Java Arithmetic Operator calculate compound value

Question

We would like to calculate compound value.

Suppose you save $100 each month into a savings account with the annual interest rate 5%.

Thus, 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

Write a program that prompts the user to enter a monthly saving amount.

Display the account value after the sixth month. 

import java.util.Scanner;

public class Main {
  public static void main(String[] args) {
    Scanner input = new Scanner(System.in); // Create a new Scanner object.
    final double MONTHLY_INTEREST_RATE = 0.00417; // Initialize constant value

    // Prompt the user to enter a montly saving amount
    System.out.print("Enter the monthly saving amount: ");
    double savingAmount = input.nextDouble();

    //your code here

    // Display result
    System.out.println("After the sixth month, the account value is " + total);
  }/*from   w w  w .j av a  2s  .  c  om*/
}



import java.util.Scanner;

public class Main {
  public static void main(String[] args) {
    Scanner input = new Scanner(System.in); // Create a new Scanner object.
    final double MONTHLY_INTEREST_RATE = 0.00417; // Initialize constant value

    // Prompt the user to enter a montly saving amount
    System.out.print("Enter the monthly saving amount: ");
    double savingAmount = input.nextDouble();

    // Compute first month account value
    double total = savingAmount * (1 + MONTHLY_INTEREST_RATE);
    // Compute second month account value
    total = (savingAmount + total) * (1 + MONTHLY_INTEREST_RATE);
    // Compute third month account value
    total = (savingAmount + total) * (1 + MONTHLY_INTEREST_RATE);
    // Compute forth month account value
    total = (savingAmount + total) * (1 + MONTHLY_INTEREST_RATE);
    // Compute fifth month account value
    total = (savingAmount + total) * (1 + MONTHLY_INTEREST_RATE);
    // Compute sixth month account value
    total = (savingAmount + total) * (1 + MONTHLY_INTEREST_RATE);

    // Display result
    System.out.println("After the sixth month, the account value is " + total);
  }
}



PreviousNext

Related