I think you have a typo the colon instead of comma, i.e. should be
date_initial=SUMPRODUCT(range_of_investment_dates, range_of_investment_values)/SUM(range_of_investment_values)
On Wed, 02 Mar 2005 15:44:42 -0500, Bob Tarburton
wrote:
Myrna got it.
Just wanted to note that all that jazz about weighted average in my
answer can be expressed as
date_initial=SUMPRODUCT(range_of_investment_dates :range_of_investment_values)/SUM(range_of_investment_values)
On Wed, 02 Mar 2005 15:03:52 -0500, Bob Tarburton
wrote:
Hi
compound_return=(total_return)^(1/((date_final-date_initial)/365))-1
Where total_return=final_value/intitial_investment
Final value=5802
Initial investment=5000
final date =today() or your sell date
the trick is that the date_initial is a weighted average of the
investment dates. I
n this case where you deposit = amounts each time, it's a straight
average.
Remember, Excel treats your dates as a real number, so it's
straightforward:
date1*investment1
+date2*investment2
...
+date(n)*investment(n)
divided by
sum of investments
On Wed, 2 Mar 2005 10:53:04 -0800, Dr. Sachin Wagh
wrote:
SORRY, Not been able to get the desired - it's giving the wrong result
let me give another example
Deposit 1000 every year for 5 years
@ 5%
Year 1: 1000 1050
Year 2: 2050 2153
Year 3: 3153 3310
Year 4: 4310 4526
Year 5: 5526 5802
=RATE(5,-1000,1,5802) yeilds 7.46% instead of 5%
Please help
"JE McGimpsey" wrote:
One way:
=RATE(21,-2574,1,129635)
In article ,
Dr. Sachin Wagh wrote:
I deposit Rs. 2574 each year for 21 years
At the end of 21 years I get Rs. 129635
How do I understand the Compound Rate thats' been applied
Regards & Thanx
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