Skip to content
Free Excel Tutorials
  • Home
  • Excel For Beginners
  • Excel Intermediate
  • Advanced Excel For Experts

Data Analysis

  • Get column name from index in Excel Table
  • Get column index in Excel Table
  • How to Create Area Chart in Excel
  • Data Series in Excel
  • How To Sort One Column or Multiple Columns in Excel

References

  • Count rows that contain specific values in Excel
  • Last row number in range
  • How to use Excel INDIRECT Function
  • Find closest match in Excel
  • Convert text string to valid reference in Excel using Indirect function

Data Validations

  • Excel Data validation exists in list
  • Excel Data validation must not contain
  • Excel Data validation date in next 30 days
  • Excel Data validation whole percentage only
  • Data validation must not exist in list

How to calculate annual compound interest schedule in Excel

by

To calculate annual compound interest, you can use a formula based on the starting balance and annual interest rate.

Formula

=start+(start*rate)

Explanation

In the example shown, the formula in C6 is:

=C5+(C5*rate)

Note: “rate” is the named range F6.

Worked Example:   How to calculate compound interest in Excel

How this formula works

If you have an annual interest rate, and a starting balance you can calculate interest  with:

=balance * rate

and the ending balance with:

=balance+(balance*rate)

So, for each period in the example, we use this formula copied down the table:

=C5+(C5*rate)

With the FV function

The FV function can also be used to calculate future value. The equivalent formula is:

=FV(rate,1,0,-C5)

The interest rate is used as-is, since we are compounding annually, nper is 1, since there is only one period per year, pmt is zero, since there are no additional payments, and pv is the starting balance, input as a negative value by convention.

Post navigation

Previous Post:

How to calculate annuity for interest rate in excel

Next Post:

How to translate letters to numbers in Excel

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Learn Basic Excel

Ribbon
Workbook
Worksheets
Format Cells
Find & Select
Sort & Filter
Templates
Print
Share
Protect
Keyboard Shortcuts

Categories

  • Charts
  • Data Analysis
  • Data Validation
  • Excel Functions
    • Cube Functions
    • Database Functions
    • Date and Time Functions
    • Engineering Functions
    • Financial Functions
    • Information Functions
    • Logical Functions
    • Lookup and Reference Functions
    • Math and Trig Functions
    • Statistical Functions
    • Text Functions
    • Web Functions
  • Excel VBA
  • Excel Video Tutorials
  • Formatting
  • Grouping
  • Others

Logical Functions

  • XOR function: Description, Usage, Syntax, Examples and Explanation
  • Complete List of Excel Logical Functions, References and Examples
  • NOT function: Description, Usage, Syntax, Examples and Explanation
  • IF, AND, OR and NOT Functions Examples in Excel
  • SWITCH function example in Excel

Date Time

  • Display Date is workday in Excel
  • Calculate expiration date in Excel
  • How to get number of days, weeks, months or years between two dates in Excel
  • Add decimal minutes to time in Excel
  • How to get same date next month or previous month in Excel

Grouping

  • Running count group by n size in Excel
  • Group times into unequal buckets in Excel
  • Map inputs to arbitrary values in Excel
  • Group times into 3 hour buckets in Excel
  • Group numbers with VLOOKUP in Excel

General

  • Convert column number to letter in Excel
  • Basic error trapping example in Excel
  • Common Errors in Excel
  • Basic numeric sort formula in Excel
  • Basic text sort formula in Excel
© 2023 xlsoffice . All Right Reserved. | Teal Smiles | Abbreviations And Their Meaning