Hi,

I have been tasked with devising a spreadsheet that will show the value of a
sum of money depending on the interest rate applied.

The only functions I can find that will work this out concentrate on
interest payable, as in mortgages or loans, and not interest receivable.

Is there a function that will show how much interest will be earned over a
given period or is it simply a case of deviding the capital sum with the
interest rate (whilst being broken down monthly) ie (value / interest
rate)/12 months ?

Thanks in advance
--
Snoozi Suzi

You can use the formulas as for loans. After all, the interest that the
borrower must pay is equal to the interest you receive!!
--
Gary''s Student - gsnu200793


"SnooziSuzi" wrote:

Hi,

I have been tasked with devising a spreadsheet that will show the value of a
sum of money depending on the interest rate applied.

The only functions I can find that will work this out concentrate on
interest payable, as in mortgages or loans, and not interest receivable.

Is there a function that will show how much interest will be earned over a
given period or is it simply a case of deviding the capital sum with the
interest rate (whilst being broken down monthly) ie (value / interest
rate)/12 months ?

Thanks in advance
--
Snoozi Suzi

The Future Value (the FV function) minus the Present Value (PV function)
will return the total interest paid over N periods.

=FV(RatePerPeriod,NPeriods,0,StartValue)-StartValue

will return the total interest paid over NPeriods. The Future Value at
period N minus Future Value at period N-1 returns the amount of interest in
that one period, either N or N-1 depending on the value of the Type
parameter.

=FV(RatePerPeriod,PeriodN,0,PV,0)-FV(RatePerPeriod,PeriodN-1,PV,0)

These assume that no payments are made each period.

--
Cordially,
Chip Pearson
Microsoft Most Valuable Professional
Excel Product Group
Pearson Software Consulting, LLC
www.cpearson.com
(email on web site)





"SnooziSuzi" wrote in message
...
Hi,

I have been tasked with devising a spreadsheet that will show the value of
a
sum of money depending on the interest rate applied.

The only functions I can find that will work this out concentrate on
interest payable, as in mortgages or loans, and not interest receivable.

Is there a function that will show how much interest will be earned over a
given period or is it simply a case of deviding the capital sum with the
interest rate (whilst being broken down monthly) ie (value / interest
rate)/12 months ?

Thanks in advance
--
Snoozi Suzi