General Loan / Investment Functions

These functions are more complex to use than the above Loan functions, but are much more general. For all of these functions, all amounts that you pay are negative, all amounts you receive are positive. It is critical that you follow this standard, or the results will be very different from what you want.

The payments and the interest rate must be for the same period. If you enter the interest rate as a yearly value, the payments must also be yearly and for a loan are negative because you pay them.

PV or Present Value is the amount you start with, FV or Future Value is what is left at the end. For a normal loan, the PV is the amount of the loan you receive and is positive because you get it. The FV is zero because it will be completely paid off at the end

There are a lot of sources of further discussion of the use of these formulas in books on money management, and on the net. Here is what Napier has for these functions:

FV

 

 

FV(pv, pmt, i, n)

 

pv: start, pmt: payments, i: rate,

 

n: periods

 

Future balance of

 

an account starting with pv

 

balance, making pmt payments

 

Values are - if you pay, + if

 

you receive, for all entries

 

i is per period. If 8.5%, use 8.5

PV

 

 

PV(fv, pmt, i, n)

 

fv: end, pmt: payments, i: rate,

 

n: periods

 

Present balance of

 

an account needed to get to a

 

fv balance, in n periods,

 

making periodic pmt payments

 

Values are - if you pay, + if

 

you receive, for all entries

 

i is per period. If 8.5%, use 8.5

NPER

 

 

NPER(pv, fv, pmt, i)

 

pv: start $, fv: end $, pmt: payment

 

i: rate

 

Number of periods to get to

 

a fv balance with a pv starting

 

balance making pmt payments

 

Values are - if you pay, + if

 

you receive, for all entries

 

i is per period. If 8.5%, use 8.5

PMT

 

 

PMT(pv, fv, i, n)

 

pv: start, fv: end i: rate,

 

n: periods

 

Payments to an account

 

starting with pv balance to get

 

to fv  balance making pmt payments

 

Values are - if you pay, + if

 

you receive, for all entries

 

i is per period. If 8.5%, use 8.5

RATE

 

 

RATE(pv, fv, pmt, n)

 

pv: start, fv: end, pmt: payment,

 

n: periods

 

Interest rate for an

 

account starting with pv balance

 

to get to fv balance, making pmt

 

payments for n periods.

 

Values are - if you pay, + if

 

you receive, for all entries

 

Rate is per period. If 8.5%, use 8.5

BAL

 

 

BAL(pv, i, n, p)

 

pv: loan amount, i: rate, n: periods

 

p: periods paid.

 

= Balance at period p

 

Values are - if you pay, + if

 

you receive, for all entries

 

Balance remaining after p periods

 

i is per period. If 8.5%, use 8.5

TOTI

 

 

TOTI(pv, i, n, s, e)

 

pv: loan amount, i: rate, n: periods

 

s: start, e: end periods to use

 

Interest paid from periods s to e

 

Values are - if you pay, + if

 

you receive, for all entries

 

i is per period. If 8.5%, use 8.5

TOTP

 

 

TOTP(pv, i, n, s, e)

 

pv: loan amount, i: rate, n: periods

 

s: start, e: end periods to use

 

Principle paid from periods s to e

 

Values are - if you pay, + if

 

you receive, for all entries

 

i is per period. If 8.5%, use 8.5

 Financial Functions that use the Data Set

These functions are under the Mony drop down key.

DNPV

 

 

DNPV( i ) = Data set NPV

 

i: int rate. NPV of Data Set

 

values as flows at reg intervals

 

for an investment, value are +

 

for flows in, - for flows out

 

i is %, eg 8.5% is 8.5

DIRR

 

 

Data set IRR

 

IRR using the Data Set

 

values as flows at reg intervals

 

for an investment, value are +

 

for flows in, - for flows out

 

DIRR value is %, eg 8.5 = 8.5%

DTRtn

 

 

Total return on data percents

 

Data set should contain a set of

 

periodic returns. This calculates

 

the total return over all periods

 

Entries are %, eg 8.5% is 8.5

DARtn

 

 

Geo avg of data percents

 

Data set should contain a set of

 

periodic returns. This calculates

 

the geometric average return

 

Entries are %, eg 8.5% is 8.5

D2Rtn

 

 

Convert Data Set to

 

returns for each period. Set is

 

sequential balances at regular

 

periods, eg monthly, daily

 

This replaces all the data with

 

returns as %, eg 8.5% is 8.5

D2Bal

 

 

Convert Data Set to

 

balances for each period.

 

Answer is starting amount

 

Data set is sequential returns

 

at regular periods, eg monthly

 

Returns are %, eg 8.5% is 8.5

 

This replaces all the data with

 

balances for each period