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HOW CAN WE CALCULATE INTEREST ACCURED BETWEEN TWODATES

 
 
manas123
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      19th Nov 2009
Help me please,

I want to calculate interest accured between two dates
data i have
start date (1st jan 2005)
End date or maturity date (1st jan 2007)
amount invested( $1000)
interest rate 10% per annum
Componuded semiannualy
how can we calculate witouht any fractional error if we follow 30/360 day
counting covention .
 
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Fred Smith
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      19th Nov 2009
First, calculate future value, as in:
=fv(10%/2,(2007-2005)*2,0,-1000)
=1215.15

Therefore, interest is $215.15

Regards,
Fred.

"manas123" <(E-Mail Removed)> wrote in message
news:203F72B8-2295-4518-9555-(E-Mail Removed)...
> Help me please,
>
> I want to calculate interest accured between two dates
> data i have
> start date (1st jan 2005)
> End date or maturity date (1st jan 2007)
> amount invested( $1000)
> interest rate 10% per annum
> Componuded semiannualy
> how can we calculate witouht any fractional error if we follow 30/360 day
> counting covention .


 
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Joe User
Guest
Posts: n/a
 
      19th Nov 2009
"manas123" <(E-Mail Removed)> wrote:
> I want to calculate interest accured between two dates
> data i have
> start date (1st jan 2005)
> End date or maturity date (1st jan 2007)
> amount invested( $1000)
> interest rate 10% per annum
> Componuded semiannualy


If your data is in A1:A4 (A1 = start date; A4 = annual interest rate):

=FV(A4/2, DATEDIF(A1,A2,"m")/2, 0, -A3) - A3

That formula assumes that start and end dates are the same day of the month.
Caveat emptor when the day of the month is 31, or the start or end date is
Feb and the day of the month is 29 or larger.


> how can we calculate witouht any fractional error if we follow
> 30/360 day counting covention.


That sounds suspiciously like the example in the ACCINTR help page.

Are you asking for help using ACCINTR? If so, what specifically don't you
understand?

Note: With bonds, the first semi-annual interest payment is not always 6
months after the "start date" (i.e. when you purchased the bond). So
technically, you need one more piece of data.


----- original message -----

"manas123" <(E-Mail Removed)> wrote in message
news:203F72B8-2295-4518-9555-(E-Mail Removed)...
> Help me please,
>
> I want to calculate interest accured between two dates
> data i have
> start date (1st jan 2005)
> End date or maturity date (1st jan 2007)
> amount invested( $1000)
> interest rate 10% per annum
> Componuded semiannualy
> how can we calculate witouht any fractional error if we follow 30/360 day
> counting covention .


 
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Joe User
Guest
Posts: n/a
 
      19th Nov 2009
Errata....

I wrote:
> =FV(A4/2, DATEDIF(A1,A2,"m")/2, 0, -A3) - A3


That should be:

=FV(A4/2, DATEDIF(A1,A2,"m")/6, 0, -A3) - A3


And I wrote:
> That sounds suspiciously like the example in the ACCINTR help page.


Misdirection!


----- original message -----

"Joe User" <joeu2004> wrote in message
news:%(E-Mail Removed)...
> "manas123" <(E-Mail Removed)> wrote:
>> I want to calculate interest accured between two dates
>> data i have
>> start date (1st jan 2005)
>> End date or maturity date (1st jan 2007)
>> amount invested( $1000)
>> interest rate 10% per annum
>> Componuded semiannualy

>
> If your data is in A1:A4 (A1 = start date; A4 = annual interest rate):
>
> =FV(A4/2, DATEDIF(A1,A2,"m")/2, 0, -A3) - A3
>
> That formula assumes that start and end dates are the same day of the
> month.
> Caveat emptor when the day of the month is 31, or the start or end date is
> Feb and the day of the month is 29 or larger.
>
>
>> how can we calculate witouht any fractional error if we follow
>> 30/360 day counting covention.

>
> That sounds suspiciously like the example in the ACCINTR help page.
>
> Are you asking for help using ACCINTR? If so, what specifically don't you
> understand?
>
> Note: With bonds, the first semi-annual interest payment is not always 6
> months after the "start date" (i.e. when you purchased the bond). So
> technically, you need one more piece of data.
>
>
> ----- original message -----
>
> "manas123" <(E-Mail Removed)> wrote in message
> news:203F72B8-2295-4518-9555-(E-Mail Removed)...
>> Help me please,
>>
>> I want to calculate interest accured between two dates
>> data i have
>> start date (1st jan 2005)
>> End date or maturity date (1st jan 2007)
>> amount invested( $1000)
>> interest rate 10% per annum
>> Componuded semiannualy
>> how can we calculate witouht any fractional error if we follow 30/360 day
>> counting covention .

>


 
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