Академический Документы
Профессиональный Документы
Культура Документы
html
Excel Easy
#1 Excel tutorial on the net Excel Introduction Basics Functions Data Analysis VBA 300 Examples Ask us
Compound Interest
What's compound interest and what's the formula for compound interest in Excel? This example gives you the
Chapter
answers to these questions.
1. Assume you put $100 into a bank. How much will your investment be worth after one year at an annual interest Financial Functions
rate of 8%? The answer is $108.
Investment or Annuity
Compound Interest
Options
Download Excel File
Invest in best SIP plans in just
2 Mins & avail high returns. compound-interest.xls
2. Now this interest ($8) will also earn interest (compound interest) next year. How much will your investment be
1 of 5 08-11 06:12 PM
Compound Interest in Excel - Easy Excel Tutorial http://www.excel-easy.com/examples/compound-interest.html
worth after two years at an annual interest rate of 8%? The answer is $116.64.
3. How much will your investment be worth after 5 years? Simply drag the formula down to cell A6.
4. All we did was multiplying 100 by 1.08, 5 times. So we can also directly calculate the value of the investment
after 5 years.
2 of 5 08-11 06:12 PM
Compound Interest in Excel - Easy Excel Tutorial http://www.excel-easy.com/examples/compound-interest.html
Note: there is no special function for compound interest in Excel. However, you can easily create a compound
interest calculator to compare different rates and different durations.
5. Assume you put $10,000 into a bank. How much will your investment be worth after 10 years at an annual
interest rate of 5% compounded monthly? The answer is $16,470.
6. Assume you put $10,000 into a bank. How much will your investment be worth after 15 years at an annual
interest rate of 4% compounded quarterly? The answer is $18,167.
3 of 5 08-11 06:12 PM
Compound Interest in Excel - Easy Excel Tutorial http://www.excel-easy.com/examples/compound-interest.html
Learn more about financial functions, use the side menu >>
Go to Top: Compound Interest | Go to Next Chapter: Statistical Functions
4 of 5 08-11 06:12 PM
Compound Interest in Excel - Easy Excel Tutorial http://www.excel-easy.com/examples/compound-interest.html
5 of 5 08-11 06:12 PM