AgivenFcont {iemisc} | R Documentation |
Annual value given Future value [continuous] (Engineering Economics)
Description
Compute A given F with interest compounded continuously
Usage
AgivenFcont(F, n, r)
Arguments
F |
numeric vector that contains the future value(s) |
n |
numeric vector that contains the period value(s) |
r |
numeric vector that contains the continuously compounded nominal annual interest rate(s) as a percent |
Details
A is expressed as
A = F\left[\frac{e^{r} - 1}{e^{rn} - 1}\right]
- A
the "annual equivalent amount (occurs at the end of each year)"
- F
the "future equivalent"
- r
the "nominal annual interest rate, compounded continuously"
- n
the "number of periods (years)"
Value
AgivenFcont numeric vector that contains the annual value(s) rounded to 2 decimal places
Author(s)
Irucka Embry
References
William G. Sullivan, Elin M. Wicks, and C. Patrick Koelling, Engineering Economy, Fourteenth Edition, Upper Saddle River, New Jersey: Pearson/Prentice Hall, 2009, page 169.
Examples
library(iemisc)
AgivenFcont(300, 2, 11) # 11\% interest