# Interest calculations and related formulas

• Are quite varied yet interrelated. Some of the standard computations are:

• Interest Compounded Annually
• Interest Compounded Continuously
• Interest Discounted Annually (Present Value of Reversion)
• Interest Discounted Continuously
• Interest Impact on Accumulation of 1 Per Period
• Interest Impact on Instalment to Amortize or Amortization
• Interest Impact on Present Value of Ordinary Annuity of 1 Per Period
• Interest Impact on Sinking Fund Factor

These formulae are predicated on calculating values basis 1 unit of currency. Here, it is one dollar. To adjust for other amounts such as five hundred or one thousand dollars then multiply the resulting factor by 500 or 1,000, respectively. By solving for the appropriate factor based on 1.0000 simplifies the analysis and verification process.

Embedded terms in definition
Accumulation
Amortize
Annuity
Basis
Currency
Factor
Interest compounded annually
Interest compounded continuously
Interest discounted continuously
Interest impact on accumulation of 1 per period
Interest impact on present value of ordinary annuity of 1 per period
Interest impact on sinking fund factor
Ordinary annuity
Present value
Sinking fund
Unit

Related Terms

 << Interest Interest compounded annually >>

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