
Elementary Math Fractions, Percentages, Word Problems, Equations, Inequations, Factorization, Expansion 
 LinkBack  Thread Tools  Display Modes 
February 5th, 2015, 05:52 PM  #1 
Member Joined: Oct 2014 From: Mars Posts: 37 Thanks: 0  Reverse compound interest excel formula?
Hi, is there a way to find out the annual compound interest (A), from the interest (I) over (Y) number of years? For example: If interest over 5 years is 300%, so I=5, Y=3.0, how can I calculate A=? Thanks in advance. 
February 5th, 2015, 06:17 PM  #2 
Math Team Joined: Dec 2013 From: Colombia Posts: 7,697 Thanks: 2681 Math Focus: Mainly analysis and algebra 
Libre Office has a NOMINAL function. In your case $$A = \text{NOMINAL}(Y,I)$$

February 5th, 2015, 08:27 PM  #3 
Math Team Joined: Oct 2011 From: Ottawa Ontario, Canada Posts: 14,597 Thanks: 1039 
Well, if your weird(!) example means an initial deposit of 1 dollar accumulates to 4 dollars (300%) over 5 years, then it's this simple: 1(1 + i)^5 = 4 1 + i = 4^(1/5) i = 4^(1/5)  1 = .3195079... or ~31.95% cpd annually. 
February 6th, 2015, 01:48 AM  #4 
Member Joined: Oct 2014 From: Mars Posts: 37 Thanks: 0 
Thanks Denis! Works great! 

Tags 
compound, excel, formula, interest, reverse 
Thread Tools  
Display Modes  

Similar Threads  
Thread  Thread Starter  Forum  Replies  Last Post 
Excel Formula for Breakeven Interest Rate  RickOShay  Math Software  5  August 31st, 2013 11:01 AM 
Compound Interest and Target projections in Excel  redliner74  Economics  3  July 18th, 2013 12:04 AM 
Simple interest/Compound interest  Qwertyqwerty  Elementary Math  2  September 20th, 2011 11:41 PM 
need help to find interest rate of return by excel  nastenka  Economics  0  December 24th, 2009 02:12 PM 
Excel Formula for Breakeven Interest Rate  RickOShay  Algebra  0  December 31st, 1969 04:00 PM 