Use this formula to find the indicated value:

FV=PMT((1+i)^n)-1)/i

FV=4000

PMT=200

i=.02

n=?

Find n.

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- Mar 7th 2011, 09:19 PMbellavitaFuture Value
Use this formula to find the indicated value:

FV=PMT((1+i)^n)-1)/i

FV=4000

PMT=200

i=.02

n=?

Find n. - Mar 7th 2011, 10:38 PMHallsofIvy
First, FVi= PMT((1+i)^n- 1)= PMT(1+i)^n- PMT

FVi+ PMT= PMT(1+i)^n

(1+i)^n= FVi/PMt+ PMT/PMT= (FVi/PMT)+ 1

Now, since n is an exponent, you will need to us a logarithm:

n log(1+i)= log((FVi/PMT)+ 1)

n= (LOG((FVi/PMT)+ 1)/(1+ i) - Mar 7th 2011, 11:14 PMbellavita
Thank you SOOOO MUCH =)