A
Alfred
Could I please get a bit of help in trying to Excel a
concept called the second function of a dollar "Future
Worth of One Dollar per Period"?
My problem is that when I use Excel like a calculator I
can get the right answer but is there a formula or
function to handle this?
1= one dollar
i= the effective interest rate
n= the number of interest conversion periods
S= the base (1+i)
S^n= the value to which one dollar will grow in a given
length of time (n periods) including the accumulation of
interest at the given effective rate.
FW = Amount of Periodic Depost x S(subscript)10. I do not
know what that is!
Sn=(1+i)^n-1/i or S^n-1/i
$1,200 per year at 6% for 10 years is $15,816.95
So S(subscript)10 works out to be 13.180795 (what is this?)
Is there an easier way in Excel?
TIA
concept called the second function of a dollar "Future
Worth of One Dollar per Period"?
My problem is that when I use Excel like a calculator I
can get the right answer but is there a formula or
function to handle this?
1= one dollar
i= the effective interest rate
n= the number of interest conversion periods
S= the base (1+i)
S^n= the value to which one dollar will grow in a given
length of time (n periods) including the accumulation of
interest at the given effective rate.
FW = Amount of Periodic Depost x S(subscript)10. I do not
know what that is!
Sn=(1+i)^n-1/i or S^n-1/i
$1,200 per year at 6% for 10 years is $15,816.95
So S(subscript)10 works out to be 13.180795 (what is this?)
Is there an easier way in Excel?
TIA