Table of Contents
Advertisement
Odd-Period Calculations
PV
1
−
+
(1
Where:
DAYS = actual number of days until the first payment
PMT = periodic payment amount
Advance Payments
PMT
where:
PMT = payment amount
PV = loan amount
FV = balloon payment amount
i = periodic interest rate (as a decimal)
N = total number of payments
#ADV = number of payments made in advance
Modified Internal Rate of Return
where:
n = total number of compounding periods
NFV
P
NPV
N
File name : English-M02-1-040308(Print).doc
DAYS
+
×
=
i
30
1
×
×
×
i
S
PMT
)
PV = loan amount
i = periodic interest rate as a decimal
N = total number of payments
FV = balloon payment amount
S = 1 if DAYS < 30
S = 0 if DAYS ≥ 30
−
PV
=
−
+
i
1
(1
)
i
=
MIRR
100
= net future value of positive cash flows
= net present value of negative cash flows
B: More About Calculations 253
Print data : 2004/3/9
−
+
−
N
i
(1
)
−
FV
(1
i
−
−
+
N
FV
i
(1
)
−
N
−
ADV
(
#
)
+
ADV
#
n
1
NFV
−
P
1
−
NPV
N
−
+
N
i
)
Hide quick links:
Advertisement
Table of Contents
