Savings annuity calculator with graph help |
Settings | Remark | |||||
Compounding period (N) |
The compounding period (N) is the number of times the interest is compounded per year.
The following compounding periods can be selected:
where: FV = Future value R = Nominal interest rate per year (as a decimal, not in percentage) T = Time period in years I = Interest amount N = Number of compounding periods in one year PMT = Periodic payment amount, paid at the end of each payment period Note: r = interest rate per period For example, if you borrow $1000 for 2 years at 12% interest compounded quarterly, you must divide the annual interest rate by 4 to obtain the interest rate per period (r = R / N = 12 / 4 = 3%). |