# Questions tagged [calculation]

A generic tag to understand the calculations in a specific case. Please give out a sample illustration and ask a specific question. Ideally should also be accompanied by specific subject tags like "credit-cards", "savings-account", "index-funds" etc.

429 questions
Filter by
Sorted by
Tagged with
74 views

### How do interest calculations differ between loans and savings? [closed]

At the bank or financial institute how are the interest calculation is different from loans and savings? Are they calculated the same way?
289 views

### How are CAGR and compounding frequency related?

I am newbie, so forgive me if my question seems trivial. I have a numerical where a bank scheme triples a person's investment in 5 years but it doesn't talk about the compounding frequency. Assuming ...
142 views

### How can I amortize 4 rates over a 30 year term?

I've been offered a HELOC modification with the following terms: Beginning balance \$148,148.59, Initial rate and term is 1% for 60 months at a pmt of \$374.60, The 2nd term begins Jan of yr 6, at 2% ...
456 views

### What is the math used to calculate the impact that overpaying a mortgage has an an amortization table?

I'm in the classic 'pay extra on the house vs invest' argument with my partner (not the subject of this question) and I'm trying to understand what exactly happens when I pay extra on a mortgage. I ...
141 views

### How to calculate portfolio stock average?

I want to find out how to calculate stock average price. I understand how to calculate average when you are buying stocks, but I'n not exaclty sure how to calculate the average when you sell stocks. ...
854 views

### How to calculate return for “negative” investment

I'm tracking a few investments, with a simple formula for total (non-annualised) return, which is (current_value - money_invested) / money_invested. For one of my investments, however, I already ...
68 views

### Determining percentage of property ownership on all cash transaction

I purchased my home in 2006, paying all cash. I owned 100% at this time. My sister wanted to buy into my home and we agreed that she would pay the remodel cost of the portion she wanted to alter so ...
343 views

### Including all the ultra-wealthy, what's the average income in the US? [closed]

The ultra-wealthy typically receive fairly little of their income as wages. Larry Page, Sergei Brin, Steve Jobs, Larry Ellison, and Mark Zuckerberg all receive or received no more than \$1 per year, ...
254 views

### Why do PEG ratio values calculated on different financial web sites differ from each other?

For example when I calculate the PEG of Microsoft (for the fiscal year 2017): For P/E ratio: P/E Ratio = Price per Share (last price before 10-k filing) / EPS (diluted) = 68.93 / 2.71 ...
121 views

### How to calculate APY interest rate from Normal interest rate

In one of the site I saw for 1% interest rate daily compounded interest the APY interest rate is 1.005003 ! How is this calculated I google a lot and didnt find how it is calculated !
2k views

### Seasonal Loan Amortization

Hi I can compute a Basic Loan Amortization Schedule, But now I'm trying to Calculate a Seasonal Loan Amortization Schedule . So for example A loan starts at January And Will go on for 3 years, with ...
2k views

Is it possible to weight the bid-ask spread? I'll explain ... In the moment, for a share X, to trade I use the price, volume, \$ volume, # trades, % chg and the bid-ask spread (BAS). To make day ...
152 views

### What would be my total saving with an increasing and regular yearly deposit after 30 years?

Let's say I deposit \$50,000 into the bank and in the first year I put in an installment of 5,000 and the interest is calculated monthly at 7%. In the second year, all is the same except for my yearly ...
4k views

### What is the formula for calculating the mortgage constant when payments are made at the beginning of the period?

In this case, the mortgage constant (or loan constant or debt constant) is the (in my case, annual) ratio of constant payments to the original amount, like here: http://www.double-entry-bookkeeping....
170 views

### How to compare loans of same principal, same interest but with different tenors

I have a scenario where there are 2 loans that can be provided (assuming I am providing the loan). The principal amount is the same, 30,000 in case of both the loans. The interest is also same at 17%. ...
5k views

### Compound daily interest with monthly deposits over x amount of years in excel

This is compound interest calculated daily and topped up with deposits every month e.g Begin with \$100, earn 2% interest earned daily even on weekends, and then come month end invest another \$100 on ...
2k views

### If I earned 40 Social Security credits by age 40, do I get benefits regardless of work or income in the years after I earned the 40 credits?

If I earned 40 Social Security credits by age 40, do I get retirement and disability benefits regardless of work and income in the years after I earned the 40 credits? So for example: if by age 40 I ...
734 views

### Calculate APR from balloon loan

I need formula to calculate nominal APR from balloon loan with contract fee. The initial data and payment schedule is: Loan sum: 10 000€ Interest rate per year: 15% Loan period: 2 years Payments ...
393 views

### When does a work calendar-month start and end?

This question might sound stupid, but I am unable to find any answer to this. Suppose I am getting paid on 26th Jan, does that mean January started or ended on the 26th? I am building an app that ...
152 views

### Daily Interest Monthly Compounding Multiyear

I downloaded the Excel spreadsheet mentioned in the accepted answer to this question: Daily interest calculation combined with monthly compounding: Why do banks do this, and how-to in Excel? It was ...
122 views

### How to calculate the future expenditure of education :

Suppose the following: if a child's age is 2 years today and he/she will go to college at the age of 15 years for 2 years(duration of education) and for which Cost incurred P.A. as on today (Rs.) ...
24k views

### How to calculate stock price (value) based on given values for equity and debt?

If a company has \$80 million in equity and \$20 million in debt, this means that total firm value = D + E = \$100 million. Am I then right to assume that if there are 1 million shares outstanding, then ...
28k views

### What Excel function to use to calculate the return or interest rate on a savings account?

I'm getting confused by Excel's various different financial functions. Which one would I use to answer the following two questions and how? Suppose that on October 1st, 2012 I open a savings account ...
1k views

### Adjusting a value for inflation each month using rolling 12-monthly inflation figures

I have a figure that I want to adjust for inflation each month. I have monthly values for the UK Consumer Price Index but these are each for the change over the preceding 12 months. If my base value ...
367 views

### How to calculate worth of money N year ago from given inflation value

I want to calculate worth of money N years ago. Based on this post, it can be calculated using CPI, but I want to use given inflation value N years ago. It better if I can get reference(s) of formula ...
154 views

### Calculating gain percentage for 24h, 7d, 30d, 3m, and so on

When we see gain percentage numbers like: +7.01% (24h), -0.43% (7d), +31.33% (30d), and so on, how are they usually calculated? For example for the 7d period, is it calculated using: ([average price ...
103 views

### How to pick from several products/services to maximize utility considering the cost of each option?

What is the proper way to consider the utility of a product/service versus its cost in order to make the best rational decision to get the "most for my dollar" if there are several choices for me to ...
553 views

### How to calculate APR for a fixed rate loan due before amortization end date?

I need help with the following question for a homework assignment related to finding the APR for an investment class. Here's the question: Calculate the APR for a \$500000 fixed rate loan amortized ...
56 views

### Implied appreciation of a currency

I have a very specific question in regards to a forward calculation. The USDEUR spot rate today is 0.759503. Libor and Euribor forward rates for the NeXT year are as follows: Fwd 3m Libor 0.00288 0....
3k views

### How to calculate car insurance quote

I'm trying something in related to Auto Insurance and when I went through the State Farm's insurance portal, it asked me for a couple of questions like below. Vehicle ownership Car Age Person's Age ...
16k views

### How to calculate new price for bond if yield increases

I am learning for a class that is partly about finance and I don't have any background in finance at all. I am struggling with a question that was asked in last years exam: A bond trades at £1015, ...
396 views

### How to read WSJ US Treasury quotes

I am trying to understand how they calculated "asked yield". If anyone can explain it, I really appreciate it. I would like to see the mathematical formula and the calculation.
758 views

### Calculating theoretical Present Value

If I were to win the lottery and the present winnings were less than twenty million paid out over a time period of twenty years, how would I theoretically find the present value amount?
61 views

### How to model fees from trades on online platforms?

So stock exchanges like super trade or options express have thresholds for the way they price trades on their platform. So for instance, say for less than 100 trades it costs \$17 per trade, and then ...
65 views

### How does a “minimum number of items to be bought” factor into break even analysis? [closed]

Let's say I am trying to find out how long it would take me to break even with a business venture. My fixed costs are x (let's say \$20,0000) My Revenue per item sold is \$50 My variable cost is \$25 ...
398 views

### How do I calculate dividend growth rate if one of the years doesn't pay out any dividend?

According to http://www.investopedia.com/terms/d/dividendgrowthrate.asp , this is how I'm going to calculate dividend rate. Year 1 = \$1.00 Year 2 = \$1.05 Year 3 = \$1.07 Year 4 = \$1.11 Year 5 = \$1.15 ...
5k views

### How do I calculate a simple moving average for stock prices?

To give a little context, this is for a programming assignment at school so the simplest form of proper moving average is all that's needed. I've searched around and seen the summation formulas and ...
526 views

### equivalent monthly cost with multiple interest rates

Is equivalent monthly cost equal to equivalent annual cost divided by 12? Also, using the equivalent annual cost HERE, how would I change the formula for differing rates over the period of time. ...
1k views

### How to calculate the price of a bond based with a yield to Maturity, term and annual interest?

I'm trying to help my nephew with finance but I'm not sure if I fully understand if I have all the necessary details to answer this question. Here's the question: Say you want to purchase a 7%, 15yr ...
10k views

### How is interest in my bank account calculated?

I am a software professional. I have one question. How do banks calculate interest on money deposited, if I get, say, 10% per annum? Say I deposit say Rs.1000 on the 1st day of the month; then I ...
2k views

### Risk free rate formula breakdown

In risk free rate formula below why is 1 added on numerator and denominator and the value is substracted by 1 Rf = (1+nominal risk free rate)/(1+inflation) -1
124 views

### Why is the estimated monthly income state-dependent on CNNMoney's annuity calculator?

Why is the estimated monthly income state-dependent on CNNMoney's annuity calculator? Example: CA (376 USD) vs. IL (385 USD) Estimated monthly income: \$376 Estimated monthly income: \$385 I ...
110 views

### Converting interest rates

I have found a monthly interest rate, 0.72% Now, I would like to convert this monthly rate to: Equivalent annual nominal rate of interest payable half yearly, and Equivalent annual nominal rate of ...
848 views

### Excel calculating interest rate on loan

Not sure if this is the right place to ask this type of question, apologies if it isn't. I am following this explanation on office support to answer my own question. Using the values they use, what ...
64k views

### What is the correct answer for percent change when the start amount is zero dollars \$0?

Percent change is a very common calculation in finance. It helps us track growth. The formula is: [(y2 - y1)/y1] x 100 = percent change If the start period is \$0 (i.e. no money was made in the ...
8k views

### Is there a term that better describes a compound annual growth rate (CAGR) when it is negative?

When calculating rates of return for an investment or portfolio over time, whether to report or compare performance, one frequently calculates the Compound Annual Growth Rate (CAGR). I've got a ...
2k views

### paying with cash vs. paying by loan and investing the money

I recently read an interesting idea in Robert Kiyosaki's book "Rich Dad, Poor Dad". His suggestion was that even if you have enough money to buy a car with cash, you would better get a loan, invest ...
42 views

### How to calculate Stamp duty of North Territory in Australia?

Northern Territory Stamp Duty - General Rate Duty is calculated on the purchase price or unencumbered value of the dutiable property, whichever is the greater, as follows: Where the dutiable value ...
2k views

### What is the formula for calculating the total cost of a loan with extra payments towards the principal?

If I have a 30 year mortgage of \$200,000 with an APR of 4.446% I can calculate how much my monthly payment will be and how much the total cost of the loan will be. But what if I have an extra \$200 to ...
259 views

### What is the meaning of Volume factor?

I want to calculate T3 Moving Average. In order to calculate T3 Moving Average, it need Volume factor, But I don't know Volume factor. What is the meaning of Volume factor as a terminology of ...