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    Compound Interest Formulas

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    Talib Al_Munawri
    Director-General
    Director-General

    Posts : 337
    Join date : 2009-07-03
    Age : 30
    Location : Sultanate of Oman

    Compound Interest Formulas

    Post by Talib Al_Munawri on Wed Oct 28, 2009 6:11 am

    Compound Interest Formulas


    where:

    i is the interest or discount rate (decimal fraction) per accounting period.
    n is the number of accounting periods from 0, there may be several n's.
    P is a Present Value at time 0, may be positive or negative.
    F is a Future Value at a time n, may be positive or negative.
    A is a uniform amount per period for n periods, may be positive or negative.

    Single Payment - Compound Amount Formula, (F/P, i, n)
    F/P = (1 + i) n

    Single Payment - Present Value (Worth) Formula, (P/F, i, n)
    P/F = (1 + i) -n

    Sinking Fund Formula, (A/F, i, n)
    A/F = i / (1 + i) n - 1

    Capital Recovery Formula, (A/P, i, n)
    A/P = (i (1 + i) n ) / ((1 + i) n - 1)

    Uniform Series - Compound Amount Formula, (F/A, i, n)
    F/A = ((1 + i) n -1) / i

    Uniform Series - Present Worth Formula, (P/A, i, n)
    P/A = ((1 + i) n -1) / (i (1 + i) n )

      Current date/time is Tue Aug 22, 2017 9:43 pm