If the interest income is capitalized multiple times a year then a portion of the yearly interest will be capitalized and reinvested. Normalsize Compound interest method. The future value calculator can be used to calculate the future value FV of an investment with given inputs of compounding periods N interestyield rate IY starting amount and periodic depositannuity payment per period PMT.
If you need to calculate the future value of an interest when compounding frequency is quarterly you can simply change the value in cell B6 to 4.
Here the future value of a certain amount you invested at an annual rate for n number of years compounded at c times per year can be calculated. R 5100 005 decimal. P the principal. If the interest income is capitalized multiple times a year then a portion of the yearly interest will be capitalized and reinvested.