10
votes
How are compound interest factor tables calculated?
It's actually really simple, despite how they make it appear!
Compound interest means nothing more than the fact that the interest of each month is calculated based on the outstanding balance at that ...
- 1,009
8
votes
Are there any home-loans that compound every quarter or half-year or annually?
I don't know of any mortgages that compound quarterly or annually, but you're talking about accruing interest, not compounding. Every mortgage I've had (as well as car loans) accrue interest daily, ...
- 125k
3
votes
Is this a weekly compounding loan amortization schedule?
If you pay the full amount of interest each period, then it makes no difference if the loan is "compounding" or not - there's nothing to "compound", and you pay the same amount ...
- 125k
3
votes
If you pay off a variable APR daily accruing credit card before the end of the month, is there interest?
You need to ask your card provider or read the terms and conditions of the card. Nobody can tell you what the terms for your particular card say.
Most cards do accrue interest daily, and most cards ...
- 32.2k
2
votes
CAGR of Monthly Close Prices
In the exponent zn(1/(([Index Across]-[Index Down])/12))
if [Index Across]-[Index Down] must be divided by 12 then the logic is OK.
For example 5% in Jan and 5% in Feb on £100 resulting in £110.25
...
- 9,377
2
votes
How to calculate Average CAGRs?
If you want the CAGR of the company as a whole, then you could tage the average CAGR weighted by sales volume (or more precisely, calculate the total sales of the company for the start and end period ...
- 125k
1
vote
Accepted
How do I calculate monthly compound interest with additional monthly deposits in Google Sheets?
You can simply treat this as two different investment and just sum them. 1000$ one time at 4% plus 100% per month at 4% both for 10 years.
Final value would be =FV(C7/C9,C8*C9,-C10)+C6*power(1+C7,C8) ...
- 7,545
1
vote
TreasuryDirect Reinvest T-Bills (Gap or no Gap)
There will not be any gaps.
I have an example from my Treasury Direct account. I am looking at my 4 week T-bills. They all have 3 or 4 more rollovers.
On Thursday September 8th there was an auction ...
- 129k
1
vote
Calculating CAGR for Ordinary annuity
First illustrating the method with a small example: 3 annual payments of £100 at 10% per annum.
c = 100
r = 0.1
The first £100 compounds for 3 years, the second £100 for 2 years and the third for 1 ...
- 9,377
1
vote
What formula has bank used in this situation?
You get pretty close if you use 30-day months and monthly compounding. In your case, the monthly rate would be 7%/12 or 0.5833%, and there are 19 full months between those dates. So the balance after ...
- 125k
1
vote
For mutual funds, does average annual return mean compounded annually or continually or daily?
You should use annual compounding since that's how it was measured, but it shouldn't make a significant difference. There is enough variance in historical returns that the margin of error for ...
- 125k
1
vote
For mutual funds, does average annual return mean compounded annually or continually or daily?
Annually.
If portfolio returns 9,21% annually, then after 4 years the return would be +42,25%
- 182
1
vote
Calculating cumulated interest of mortgage within a specific time span
You're just including an extra month. Change your start date to 2021-01-31 so that your starting and ending periods will be 30 and 41 instead of 29 and 41.
or, more genericall, change your formula to
=...
- 125k
1
vote
How to deal with February in accrued interest calculation (30/360 day count convention)
For accrued interest "30E/360" is what the method to standardize on 30-day months is called. It is almost never used. Accrued interest/360 is used, but more common is accrued interest/365. ...
- 11
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