How To Find Interest Rate In Present Value Annuity

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Present Value of Annuity Solution

Step 0: Pre-Calculation Summary

Footstep 1: Catechumen Input(s) to Base Unit

Monthly Payment: 28000 --> No Conversion Required
Interest Rate: half-dozen --> No Conversion Required
Number of Months: xiii --> No Conversion Required

Pace 2: Evaluate Formula

Step 3: Catechumen Result to Output's Unit

4666.6666666185 --> No Conversion Required

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Nowadays Value of Annuity Formula

Present Value of Annuity = (Monthly Payment/Involvement Charge per unit)*(1-(1/(1+Involvement Rate)^Number of Months))
PVAnnuity = (p/i)*(ane-(1/(ane+i)^north))

How to Summate Present Value of Annuity?

Nowadays Value of Annuity calculator uses Nowadays Value of Annuity = (Monthly Payment/Interest Rate)*(1-(1/(1+Interest Rate)^Number of Months)) to calculate the Present Value of Annuity, Present Value of Annuity is the current value of a set up of cash flows in the future, given a specified rate of return or discount rate. Present Value of Annuity is denoted by PVAnnuity symbol.

How to summate Present Value of Annuity using this online calculator? To use this online calculator for Present Value of Annuity, enter Monthly Payment (p), Interest Rate (i) & Number of Months (n) and hit the calculate button. Here is how the Present Value of Annuity calculation can be explained with given input values -> 4666.667 = (28000/vi)*(1-(ane/(one+6)^thirteen)).

FAQ

What is Present Value of Annuity?

Present Value of Annuity is the current value of a fix of cash flows in the future, given a specified charge per unit of return or disbelieve rate and is represented as PVAnnuity = (p/i)*(1-(1/(1+i)^north)) or Nowadays Value of Annuity = (Monthly Payment/Involvement Rate)*(ane-(1/(1+Involvement Charge per unit)^Number of Months)) . The monthly payment is the corporeality a borrower is required to pay each month until a debt is paid off, Interest rate is the amount charged, expressed equally a percentage of main, by a lender to a borrower for the employ of assets & The number of months is the total number of compounding intervals.

How to calculate Present Value of Annuity?

Nowadays Value of Annuity is the current value of a set of cash flows in the hereafter, given a specified rate of return or discount rate is calculated using Present Value of Annuity = (Monthly Payment/Interest Rate)*(1-(1/(i+Interest Rate)^Number of Months)) . To calculate Present Value of Annuity, you need Monthly Payment (p), Involvement Rate (i) & Number of Months (n). With our tool, you need to enter the respective value for Monthly Payment, Involvement Rate & Number of Months and hit the summate push button. You tin can too select the units (if any) for Input(southward) and the Output as well.