Calculate Number of Payments of Annuity
For an annuity of a given present value, payment amount and rate, you can determine how many periods it will last.
Please fix these errors:
Interpretation:
An annuity that has a present value of $#PresentValue# and pays $#PaymentValue# per period at a rate of #Rate#% would last #PeriodValue# periods (e.g., weeks, months, or years).What does this mean to you? Well, if you had the opportunity to take an amount higher than the $#PresentValue# today instead of taking the $#PaymentValue# at the end of every period for #PeriodValue# time periods, you should take the money today. By doing so, you would be able to invest the higher amount at #Rate#% for #PeriodValue# equal time periods, and would end up receiving more than the $#PaymentValue# per time period.
" >OOPS!!!
The number of periods is too small for our calculator. This means that you need either to increase your present value, increase your interest rate, or reduce your payment amount.
Try again.
OOPS!!!
The number of periods is too large for our calculator. This means that you need either to decrease your present value, decrease your interest rate, or increase your payment amount.
Try again.
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- Understanding the Time Value of Money - Find out how time really is money by learning to calculate present and future value.