Investments

With the Investments calculation you can find out what will be the future value of an initial investment and/or a series of periodic investments.

Periodic investments can either be made at the beginning or the end of a period.

To see the amortization schedule, select the Show Details command in the Calculation menu.

To toggle between date and period view, click the header of the first details column.
Please note that in order to avoid misinterpretations, the details table always displays period numbers and dates.

To change the start date, select the Start Date command in the Edit menu to open the Date Options dialog.

Input

• nominal annual rate
• compounding frequency
• investment frequency
• number of years or periods (note: changing the
• periodic deposit made at the beginning or end of each period
• initial investment

Results

• present value
• future value
• total invested
• total interest

Example

At the start of your career you have $7,300 in a savings account. Your estimated annual is at 9 %.

If you make $1,200 payments at the beginning of each year, how much will be in the account after 40 years?

Input Nominal annual rate: 9 %
  Interest is compounded: annually
  Investments are made: annually
  Number of years: 40
  Periodic investment at start of period: 1,200
  Initial investment: 7,300
     
Results Future value: 671,239.00

Answer: After 40 years there will be $671,239.00 in the account.

 

Related topics

Nominal annual rate
Compound interest