Re: Calculation Price per unit of Electricity

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Article #179

#179

From: John
Date: Wed, 11 Apr 2007 14:18

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Company X borrows the full
amount of 100$ for the construction cost as well as the
the other expenses of (8 + 2) exceeding the income..." really means.
"Bruno Campanini" <BC@gmail.com> wrote in message
news:461b9ef2$0$36448$4fafbaef@reader5.news.tin.it...
> <John@eskom.co.za> wrote in message
> news:evg2uk$u4g$1@newsreader02.ops.uunet.co.za...
> > Please can you send me the equation that you used.
> >
> > Thanks
>
> C = the amount you borrow
> i = rate of interest
> n = number of payments
>
> Constant Amount for Payments due the end of each  n periods is:
>
>         C * i
> -------------------
>                1
>  1 -  ------------
>         (1 + i) ^ n
>
>
> Where  i  is the rate of interest related to one unit
> of C and to one unit of  n.
> I.e.  5% per annum  is  i = 0.05  and n is number of years.
>
> If you have  interest 5% per annum  and  n  is the number
> of months you must convert  a per-annum rate in a
> per-month rate which is not  0.05/12 = 0.004167 but
>
> (1 + 0.05)^(1/12) - 1 = 0.00407 = 0.407% per-month
>
> Bruno
>

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From: John@eskom.co.za
Newsgroups: aus.mathematics
Subject: Re: Calculation Price per unit of Electricity
Date: Wed, 11 Apr 2007 16:18:29 +0200
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