Best Math Formula website. Search anything about Math Formula in this website.
how to calculate compound interest rate in excel. You need the beginning value interest rate and number of periods in years. RATE nper pmt pv fv type Arguments within square brackets are optional.
How To Calculate Compound Interest In Excel Excel Tutorials Excel Compound Interest from www.pinterest.com
Select a blank cell for example Cell E3 enter the below formula into it and press the Enter key. You can follow this same logic to create the formula that calculates year 3 interest in cell E2 D2 x 108. We will initiate writing the FVSCHEDULE function into cell B6.
FV PV 1rn where FV is future value PV is present value r is the interest rate per period and n is the number of compounding periods.
The function takes two arguments ie. If the interest on your investment is paid monthly while being quoted as an annual interest rate the Excel compound interest formula becomes. And we can easily apply this formula as following. Compound Interest P 1rn nt.
