Future Value

[brews]

Have a short procedure to calculate time value of money with three parameters - PV, interest and time period.

            FV = PV * (1 + i / 100) ^ n 'this tracks fv without monthly/annual payment

where i = interest and n is number of months/years (time period).
Would like to also use a calculation with monthly/annual additions. But I am stumped. Excel uses FV(rate, nper, pmt, PV). Having difficulties on how to incorporate pmt.

Any ideas would be great.

 

[jges]

Have you had a look at:

http://en.wikipedia.org/wiki/Time_value_of_money

?

There are some equations and explanations there that might be of help.