Calculation limited wrote:
I need to calculate compounded daily interest on an amount owed by a debtor.
Can someone give me a excel formula. I am not a math please layman terms. I
know the principal of how it works but don't want to spend a day doing it by
calculator. Amount 4324.13 @23.99% from 10/22/03 to 8/23/05

Did you advertise (or stipulate) that 23.99% is the "APR"?

If so, then I believe that using 23.99%/365 (0.065726%) for
the compounded daily interest rate is incorrect. That would
result in an APR of 27.10%. I believe the correct compounded
daily interest rate is 0.058930%.

(Note: That is a personal opinion, not a legal one. I do
not know what is common practice or regulation among lendors.)

Given an APR of 23.99%, this is how I would compute the
compounded daily interest rate:

RATE(365,,-1,1.2399) [A1]

The number of days (671) can be computed as:

DATE(2005,8,23)-DATE(2003,10,22) [A2]

Do you truly want to compute the "compounded daily interest"
-- the amount of interest each day(!)? Or do you really want
to compute something else -- perhaps the total interest
accumulated between 10/22/03 and 8/23/05, assuming no payments
and a compounded daily interest rate?

The latter ($2096.49) can be computed as follows:

FV(A1,A2,,-4324.13)-4324.13

I hope that helps. As noted, it is not really clear (to me)
what you are trying to compute.