Hi Santosh, Assuming the value you have labeled ROI and I is really just ROI (remember, your graphic indicates that i=ROI/400), you can replicate the formula in your graphic like this:
=(I4*((1+I6/400)*I5-1))/(1-(1+I6/400)-1/3) The result is -31751. Surely not what you hoped. I think the problem is twofold. One: the formula in the graphic is incorrect. Two: Your desired value of 12259 is not the solution for even the correct formula. Possibly you chose the wrong formula altogether for replicating a real financial value? The formula in your graphic looks like it is intended to calculate the maturity value for recurring deposits that are compounded quarterly with monthly deposits. The formula you show, reformatted a little for Excel notation, is: M=(R*((1+i)*n-1))/(1-(1+i)-1/3) where M= Maturity value, R=Monthly installment, n=Number of quarters, i=Rate of interest/400. The correct formula, however, is slightly different. The error was in the repesentation of exponents in your graphic. This is correct: M=(R*((1+i)^n-1))/(1-(1+i)^(-1/3)) This formula, in your worksheet, translates to: =(I4*((1+I6/400)^I5-1))/(1-(1+I6/400)^(-1/3)) which results in 41048. Your desired value of 12259 just doesn't make sense. Interest aside -- if you put 1000 a month in a savings account for 12 quarters (3 years), you will have deposited 36000. If the bank only offers you a balance of 12000+, complain!!! Asa From: excel-macros@googlegroups.com [mailto:excel-macros@googlegroups.com] On Behalf Of santosh subudhi Sent: Tuesday, December 27, 2011 2:03 AM To: excel-macros@googlegroups.com Subject: $$Excel-Macros$$ Formula correction needed for Recurring deposit Hi Group, Please look into the formula and do the necessary correction. This is for RD calculation -- Regards Santosh santoshkumar.subu...@gmail.com -- FORUM RULES (934+ members already BANNED for violation) 1) Use concise, accurate thread titles. Poor thread titles, like Please Help, Urgent, Need Help, Formula Problem, Code Problem, and Need Advice will not get quick attention or may not be answered. 2) Don't post a question in the thread of another member. 3) Don't post questions regarding breaking or bypassing any security measure. 4) Acknowledge the responses you receive, good or bad. 5) Cross-promotion of, or links to, forums competitive to this forum in signatures are prohibited. NOTE : Don't ever post personal or confidential data in a workbook. Forum owners and members are not responsible for any loss. ---------------------------------------------------------------------------- -------------------------- To post to this group, send email to excel-macros@googlegroups.com -- FORUM RULES (934+ members already BANNED for violation) 1) Use concise, accurate thread titles. Poor thread titles, like Please Help, Urgent, Need Help, Formula Problem, Code Problem, and Need Advice will not get quick attention or may not be answered. 2) Don't post a question in the thread of another member. 3) Don't post questions regarding breaking or bypassing any security measure. 4) Acknowledge the responses you receive, good or bad. 5) Cross-promotion of, or links to, forums competitive to this forum in signatures are prohibited. NOTE : Don't ever post personal or confidential data in a workbook. Forum owners and members are not responsible for any loss. ------------------------------------------------------------------------------------------------------ To post to this group, send email to excel-macros@googlegroups.com
