Compound Interest over the years

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Guest

What is the function I use for showing me how much a fixed 6% annually will
yield over the years. For instance, on $100,000 the first year would yield
$106,000, the second year, how much, the fifth year, tenth, etc.
 
You can use the Future Value FV function
Things to note:
Your interest rate must match your "periods" (years, months, etc)
Use negative values for money leaving you, positive for money coming in.
best wishes
 
Bernard, I'm very thankful for your time, but I didn't express myself
clearly. There will be no additional payments to the original sum. It's
like the appreciation in a real estate deal, in a way. I've paid 100 and I'd
like to know how much this sum will be worth in 2, 5, or 10 years time if the
appreciation is constant at, say, 6% a year, compounded.
--
Rene - Do appreciate your help


Bernard Liengme said:
You can use the Future Value FV function
Things to note:
Your interest rate must match your "periods" (years, months, etc)
Use negative values for money leaving you, positive for money coming in.
best wishes
Click to expand...
 
What is the function I use for showing me how much a fixed 6% annually will
yield over the years. For instance, on $100,000 the first year would yield
$106,000, the second year, how much, the fifth year, tenth, etc.
Click to expand...

=fv(6%,A1,0,-100000)

where A1 is the number of years (1, 2, 5, 10).
 
=100000*(1+6%)^ROW(A1) in your first row will give the answer for 1 year.
Copy down as far as necessary.
 
=100000*(1+6%)^ROW(A1) in your first row will give the answer for 1 year.
Copy down as far as necessary.
Click to expand...

Or simply put 100000 into A1, =A1*(1+6%) in to A2, and copy down A2 as
needed.

Besides being more efficient, arguably it is less error-prone. With
"^row(A1)", move the table afterwards (other than left or right), and
everything is fubar. That might seem obvious to you. But if the OP
cannot figure out how to use FV based on Bernard's response, he/she
probably could not begin to fathom the chaos brought on by the misuse
of row(A1).
 
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