Calculate Single Pay Annuity

[RealGOmer]

Will the FV function accurately calculate the value of a
single pay annuity? That is, a single payment is made at
the time = 0 and then payment from the annuity are made
monthly at time = 15.

 

[Niek Otten]

No. You need close family of that function; the PMT() function. But it will
not calculate payments on the fifteenth, only at the start or at the end of
the period (month, in your case).
I assume that taking the average of those is accurate enough for you, but of
course you can apply more sophisticated calculations. Make sure you set your
interest rate correct for monthly payments.

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Kind Regards,

Niek Otten

Microsoft MVP - Excel