Investment descriptions usually provide all of the information you need to make a decision about the product. That information includes the initial investment, ongoing payments, interest rate, length of the investment, and final return. If you receive information about an investment that has the number of periods missing, you can calculate the missing value by using the NPER function.
- [Instructor] Investment descriptions usually provide…all of the information you need to make a decision…about the product.…That information includes the initial investment,…ongoing payments, interest rate, the life of the investment,…and final return.…IF you receive information about an investment…that has the number of periods missing,…you can use the other information…to calculate the missing value by using the NPER function.…In this movie, I will show you the number of periods…required to meet an investment goal.…My sample file is NumberOfPeriods_01_08…and you can find it in the chapter one folder…of your exercise files collection.…
To calculate the number of periods required…to meet an investment goal, you need to know…five different things.…The first is the annual interest rate, that's in C3,…and that is the annual rate of the investment.…In C4, I have the second argument, payment each period.…If you are making payments into a fund,…then this is the amount that will be coming in…on a regular basis.…Next is the present value, that is the amount of your…
Author
Curt Frye
Released
10/9/2016Lynda.com is a PMI Registered Education Provider. This course qualifies for professional development units (PDUs). To view the activity and PDU details for this course, click here.
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- Analyzing loans, payments, and interest
- Calculating depreciation
- Determining values and rates of return
- Calculating bond coupon dates and security durations
- Calculating security prices and yields
- Calculating prices and yields of securities with odd periods
- Analyzing simulation results
Skill Level Intermediate
Duration
Views
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Introduction
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Welcome58s
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1. Analyzing Loans, Payments, and Interest
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2. Calculating Depreciation
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3. Determining Values and Rates of Return
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4. Calculating Bond Coupon Dates and Security Durations
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5. Calculating Security Prices and Yields
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6. Analyzing Simulation Results
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Conclusion
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Next steps1m 12s
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Video: Calculating the number of periods in an investment (NPER)