![]() ![]() The evolution per each period is presented below: PeriodĬase 2: Let’s use the same example with a single modification as the annuity is due: ■ Annuity payments total value: $60,000.00 ■ Future Value of Ordinary Annuity: $69,770.03 Two factors impact the dollar's FV (or any currency's FV): inflation (or deflation) investment return The greater the rate of inflation the less the dollar will buy. Example of two calculationsĬase 1: Let’s consider an ordinary annuity with a payment per month of $1,000, over 5 years (which translates into 5 * 12 = 60 time periods) with 0.5% monthly compound interest rate. A future value calculator is the tool one uses to calculate a dollar's future value. Together with the figures explained in the above, this calculator displays a details report showing the growth per each period.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |