SUMMATION combined with PV formula

[turjes]

Greetings,

I am using EXCEL 2008 on a MAC. I am trying to use the Present Value formula
in a summation formula. The problem is that I don't see a SUMMATION formula
(the uppercase SIGMA sign) anywhere, I even tried looking it up.

My PV function would look like this:

PV = FV/(1+r)^i

With the summation formula being utilized with that, I want it to sum up the
PV going from i=6 to i=12. Is there any way to do that in Excel? Any help
would be appreciated, thank you!

 

[Dana DeLouis]

Greetings,

I am using EXCEL 2008 on a MAC. I am trying to use the Present Value formula
in a summation formula. The problem is that I don't see a SUMMATION formula
(the uppercase SIGMA sign) anywhere, I even tried looking it up.

My PV function would look like this:

PV = FV/(1+r)^i

With the summation formula being utilized with that, I want it to sum up the
PV going from i=6 to i=12. Is there any way to do that in Excel? Any help
would be appreciated, thank you!

Not sure, but would this work?

start (s) = 6, end (e) = 12

= (FV*((r + 1)^(1 - s) - (r + 1)^(-e)))/r

Dana DeLouis

 

[turjes]

Not sure, but would this work?

start (s) = 6, end (e) = 12

= (FV*((r + 1)^(1 - s) - (r + 1)^(-e)))/r

Dana DeLouis

Hi Dana, thank you for your response. I have a question though. How would I
enter that in Excel? I'm confused about how to enter the "start (s) = 6, end
(e) = 12" command. If you could please provide me with step-by-step
instructions, I would really appreciate it. Thank you again for your help!

 

[Fred Smith]

Are you trying to do this summation with one function? That's going to be
most difficult.

The most common way people would solve this problem is:
1. Enter FV and r in, say, a1 and a2
2. Enter the numbers 6 to 12 in, say, b1:b7
3. In c1, enter =$a$1/(1+$a$2)^b1
4. Copy c1 down to c7.
5. In c8, enter =sum(c1:c7)
In less than a minute, you're done.

Regards,
Fred.