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how to find interest rate in present value formula. Step 1 Divide the future value by the present value. R Rate of return.
Interest Compound Interest Growth Calculated By Rate Frequency Intrest Rate Interesting Things Compound Interest from www.pinterest.com
Use the formula below where I is the interest rate F is the future value P is the present value and T is the time. Say you want to know the annual interest rate you need to earn to grow 1000 today to 1750 in 10 years. PVIF dfrac 1 1r n PVIF 1 rn1.
Present Value Factor Formula.
The generalized formula for present value of a stream of cash flows is represented in the following equation where P is the payment or cash flow received during the period R is the periodic rate of return and N is the number of periods. The generalized formula for present value of a stream of cash flows is represented in the following equation where P is the payment or cash flow received during the period R is the periodic rate of return and N is the number of periods. Pmt - from cell -C6 -7500. Step 1 Divide the future value by the present value.
