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compound_interest_factors
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compound_interest_factors [2012/07/09 19:31] 128.192.48.132 |
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| |14.300 |189.464 | |90 | | | | | |14.300 |189.464 | |90 | | | | | ||
| |16.578 |253.546 | |95 | | | | | |16.578 |253.546 | |95 | | | | | ||
| - | |19.218 |339.302 | |100 | | | | | + | |19.218 |339.302 | |100 | | | | |
| + | ====Compound-Interest Formulas==== | ||
| + | 1. End Value of Initial sum after n years: V<sub>n</sub> = V<sub>o</sub>(1+r)<sup>n</sup> \\ | ||
| + | 2. Initial value of end value: V<sub>o</sub> = V<sub>n</sub>/(1+r)<sup>n</sup> \\ | ||
| + | 3. Rate of interest earned on sum: r=100[(V<sub>n</sub>/V<sub>o</sub>)<sup>1/n</sup>-1] \\ | ||
| + | 4. Amount of interest earned: R<sub>n</sub> = V<sub>o</sub>[(1+r)<sup>n</sup>-1]\\ | ||
| + | 5. Initial value of a perpetual annual payment: V<sub>o</sub> = a + a/r\\ | ||
| + | 6. Initial value of terminal series of annual payments: V<sub>o</sub> = a + a/r [((1+r)<sup>n</sup>-1)/(1+r)<sup>n</sup>]\\ | ||
| + | 7. End value of terminal series of annual payments: V<sub>n</sub> = a[(1+r)<sup>n</sup>-1] / r\\ | ||
| + | 8. Present worth of land: Present Worth = Net value at end of rotation/((1+r)<sup>t</sup>-1) \\ | ||
| + | ====Legend==== | ||
| + | V<sub>n</sub> = end value\\ | ||
| + | r = rate of interest\\ | ||
| + | V<sub>o</sub> = initial value\\ | ||
| + | R<sub>n</sub> = amount of interest ($)\\ | ||
| + | n = number of years\\ | ||
| + | a = annual payment\\ | ||
| + | t = length of rotation\\ | ||
compound_interest_factors.1341862271.txt.gz · Last modified: 2012/07/09 19:31 by 128.192.48.132
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