fvMonthlyPaidAnnuityCompMonthly {tvmComp}

Calculates Future Value of Monthly Paid Ordinary Annuity or Annuity Due that is Compounded Monthly.

Description

Calculates Future Value of Monthly Paid Ordinary Annuity or Annuity Due that is Compounded Monthly.

Usage

fvMonthlyPaidAnnuityCompMonthly(r, n, pmt, bgn)

Arguments

r

A number.

n

A number.

pmt

A number.

bgn

A number.

Details

Explaining the variables involved in Time Value of Money equation, Brooks,R. (2018) points out that variables in a single cash flow (the lump-sum time value) of money equations are number of periods, r (Interest Rate or Rate of Return), pv (Present Value), and fv (Future Value), whereas annuity equation has an additional variable and that is pmt (payment). The method fvMonthlyPaidAnnuityCompMonthly() calculates Future Value of Monthly Paid Ordinary Annuity or Annuity Due that is Compounded Monthly and gives fv when values are passed to its four arguments. Here r is annual rate, n is number of years, pmt is amount of one annuity and bgn is the computational mode. (Enter 1 when annuity payment occurs at the beginning of the period; 0 for end of period payments)

Value

Input values to four arguments r , n , pmt and bgn.

Author(s)

MaheshP Kumar, [e-mail]

References

Brooks,R. (2018). Financial Management (4th Edition). Pearson Education (US). ISBN 9780134730417, https://bookshelf.vitalsource.com/books/9780134731070.

Examples

fvMonthlyPaidAnnuityCompMonthly(0.08,10,-50,1)
fvMonthlyPaidAnnuityCompMonthly(0.08,10,-50,0)
fvMonthlyPaidAnnuityCompMonthly(.08,10,50,1)
fvMonthlyPaidAnnuityCompMonthly(.08,10,50,0)