Please Help, Pay Back time?
I can't make sense of what you wrote.
Also, I need to make sure that the calculated value is the sum of each year
including interest. This should be calculated by adding year1 + year2 + year3
etc
year2 and up should be calculated by =Year1^(1.04*n) where n = the year#
"Barb Reinhardt" wrote:
It should make no difference what the initial year is (I think)
THis is your equation
Initial Value * 1.04^n = 2* Initial Year
Solve for n (which is the # of hears
1.04^N = 2
n log 1.04 = log 2
n = log 2/log 1.04
N = 17.67 years.
If the interest rate changes, your result will change.
HTH,
Barb Reinhardt
"Eric" wrote:
Hello everyone,
I am trying to create a forumla to show pay back time.
If there is a 4% increase each year over the previous year, how many years
it will take until the accrued years will equal A1
The values I will input are "initial year" and A1
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