Time Value on Excel (Using the Function (fx) Wizard)

note: click on the cell next to the question mark to see the formula.

Future Value:
If I deposit $100 in an account earning 10% per year, how much will my
deposit be worth after 5 years?
PV
I
n
FV?

(100.00)
10.00%
5
$161.05

What if we had the same problem but interest is compounded monthly?

PV
I
n
FV?

(100.00)
0.83%
60
$164.53

***Note: Change the values of any variable other than that being solved for to view changes***

Time Value on Excel (Using the Function (fx) Wizard)

note: click on the cell next to the question mark to see the formula.

Present Value:
How much would I need to deposit today in an account earning 10% per year
in order to accumulate $10,000 after 5 years?
FV
I
n
PV?

$(10,000.00)
10.00%
5
$6,209.21

What if my interest was compounded monthly?

FV
I
n
PV?

$(10,000.00)
0.83%
60
$6,077.89

***Note: Change the values of any variable other than that being solved for to view changes***

Time Value on Excel (Using the Function (fx) Wizard)

note: click on the cell next to the question mark to see the formula.

Future Value of an Annuity:

How much would I have in my retirement account if I deposited $2000 each
year for 35 years and I earned 10% on my savings? What about $4,000?
PMT
I
n
FVA?

(2,000.00)
10.00%
35
$542,048.74

PMT
I
n
FVA?

(4,000.00)
10.00%
35
$1,084,097.47

Instead, what if I made monthly deposits of $166.67? How about monthly deposits of $333.33?
PMT
I
n
FVA?

(75,000.00)
0.63%
60
$5,439,532.90

PMT
I
n
FVA?

***Note: Change the values of any variable other than that being solved for to view changes***

(75,000.00)
0.41%
60
$5,095,082.21

Time Value on Excel (Using the Function (fx) Wizard)

note: click on the cell next to the question mark to see the formula.

Future Value of an Annuity Due:

How much would I have in my retirement account if I deposited $2000 at the beginning of each
year for 35 years and I earned 10% on my savings? What about $4,000?
PMT
I
n
FVA?
FVAD?

(2,000.00)
10.00%
35
$542,048.74
$596,253.61

PMT
I
n
FVA?
FVAD?

(4,000.00)
10.00%
35
$1,084,097.47
$1,192,507.22

Instead, what if I made beginning of the month deposits of $166.67? How about monthly deposits of $333.33?
PMT
I
n
FVA?
FVAD?

(75,000.00)
0.63%
60
$5,439,532.90
$5,473,529.98

PMT
I
n
FVA?
FVAD?

***Note: Change the values of any variable other than that being solved for to view changes***

(333.33)
0.83%
420
$1,238,851.38
$1,249,089.82

posits of $333.33?

Time Value on Excel (Using the Function (fx) Wizard)

note: click on the cell next to the question mark to see the formula.

Present Value of an Annuity:

How much could I afford to borrow for a home if I can make monthly payments of $12,000
per year for 30 years at 8%? What about monthly payment of $1,000?
PMT
I
n
PVA?

12,000.00
8.00%
30
($135,093.40)

PMT
I
n
PVA?

1,000.00
0.67%
360
($136,283.49)

What if I wanted to know what my montlhy payments would be a $20,000 car loan over
five years at 8%?
PV
I
n
PVA?

$ 500,000.00
2.08%
24
($26,685.76)

***Note: Change the values of any variable other than that being solved for to view changes***

Time Value on Excel (Using the Function (fx) Wizard)

note: click on the cell next to the question mark to see the formula.

Present Value of an Annuity:

How much could I afford to borrow for a home if I can make annual payments of $12,000
per year for 30 years at 8%? What about monthly payment of $1,000?
PMT
I
n
PVA?
PVAD?

12,000.00
8.00%
30
($135,093.40)
($145,900.87)

PMT
I
n
PVA?
PVAD?

1,000.00
0.67%
360
($136,283.49)
($137,192.05)

What if I wanted to know what my montlhy payments would be a $20,000 car loan over
five years at 8%?
PV
I
n
PVA?
PVAD?

20,000.00
0.67%
60
($405.53)
($402.84)

***Note: Change the values of any variable other than that being solved for to view changes***