
Database System Concepts
7th Edition
ISBN: 9780078022159
Author: Abraham Silberschatz Professor, Henry F. Korth, S. Sudarshan
Publisher: McGraw-Hill Education
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Question
A bank account earns interest once per year. Compute the interest earned in the first and second years.
![### Understanding Interest Calculation Using Java Code
Given below is a simple Java program that computes the interest earned on a bank account in the first and second years. The program takes an initial balance and an interest rate and calculates the interest for two consecutive years.
#### Source Code: Investment.java
```java
public class Investment
{
public static void main(String[] args)
{
double balance = 351.75;
double percent = 5.5;
double interest = balance * percent;
System.out.printf("Year 1 interest: %.2f%n", interest);
interest = balance * percent;
System.out.printf("Year 2 interest: %.2f%n", interest);
}
}
```
#### Breakdown of the Program
1. **Class Definition and Main Method:**
- The program is defined within a public class named `Investment`.
- The `main` method is the entry point for the program execution.
2. **Variable Initialization:**
- `balance` is a `double` type variable initialized to 351.75, representing the initial balance of the account.
- `percent` is a `double` type variable initialized to 5.5, representing the annual interest rate.
3. **Interest Calculation for Year 1:**
- The interest for the first year is calculated by multiplying the `balance` with `percent`.
- The result is stored in the `interest` variable and then printed to the console using `System.out.printf` with formatting to show two decimal places.
4. **Interest Calculation for Year 2:**
- The same interest calculation is repeated (note: in a real-world scenario, typically you would update the balance with the interest before recalculating for the next year).
- The result is stored in the `interest` variable again and printed to the console similarly to the first year.
#### Important Notes
- The interest is calculated based on the initial balance without updating it year over year. In a more realistic scenario, the balance should be updated to include the interest earned each year.
- The use of `System.out.printf` allows for formatted output, which is essential for presenting financial data accurately.
By running this program, students can observe how interest is computed and outputted for consecutive years, and understand the importance of updating balances when dealing with yearly calculations.](https://content.bartleby.com/qna-images/question/d772767f-fd91-4ca5-b737-b5766e3fef0a/e6fcd358-30be-4693-bffe-97f0cdffb851/io9vonh_thumbnail.png)
Transcribed Image Text:### Understanding Interest Calculation Using Java Code
Given below is a simple Java program that computes the interest earned on a bank account in the first and second years. The program takes an initial balance and an interest rate and calculates the interest for two consecutive years.
#### Source Code: Investment.java
```java
public class Investment
{
public static void main(String[] args)
{
double balance = 351.75;
double percent = 5.5;
double interest = balance * percent;
System.out.printf("Year 1 interest: %.2f%n", interest);
interest = balance * percent;
System.out.printf("Year 2 interest: %.2f%n", interest);
}
}
```
#### Breakdown of the Program
1. **Class Definition and Main Method:**
- The program is defined within a public class named `Investment`.
- The `main` method is the entry point for the program execution.
2. **Variable Initialization:**
- `balance` is a `double` type variable initialized to 351.75, representing the initial balance of the account.
- `percent` is a `double` type variable initialized to 5.5, representing the annual interest rate.
3. **Interest Calculation for Year 1:**
- The interest for the first year is calculated by multiplying the `balance` with `percent`.
- The result is stored in the `interest` variable and then printed to the console using `System.out.printf` with formatting to show two decimal places.
4. **Interest Calculation for Year 2:**
- The same interest calculation is repeated (note: in a real-world scenario, typically you would update the balance with the interest before recalculating for the next year).
- The result is stored in the `interest` variable again and printed to the console similarly to the first year.
#### Important Notes
- The interest is calculated based on the initial balance without updating it year over year. In a more realistic scenario, the balance should be updated to include the interest earned each year.
- The use of `System.out.printf` allows for formatted output, which is essential for presenting financial data accurately.
By running this program, students can observe how interest is computed and outputted for consecutive years, and understand the importance of updating balances when dealing with yearly calculations.
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