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Microsoft Excel is a popular spreadsheet program that can be used for a selection of calculations. Using Excel, you can assemble one interest [http://wiki.london.hackspace.org.uk/view/Mortgage_Calculator_-_How_to_Program_an_Online_Mortgage_Calculator calculator] accordingly that you can quickly determine how much interest will accrue on your account. This calculator will allow you to adjust the several components--the curiosity rate, number regarding compounding eras per year, long time in the account and the cost of the account--to see how slight transforms may well influence the total amount about interest that accrues.

Difficulty:
Moderate

Instructions

1 Label cell A1 "Balance," cell A2 "Annual Curiosity Rate Percentage," cell A3 "Compounding Times Per Year," cell A4 "Spare time from Years," cell A5 "Periodic Rate," cell A6 "Amount of Periods" also cell A7 "Total Curiosity."

2 Enter the balance regarding your consideration in cell B1, the annual interest rate expressed because a percentage in cell B2 and the number of times attention yous compounded each year in cell B3.

3 Type with the formula "=B2/B3/1 website web site" inside cell B4 to work out the continual curiosity rate expressed as any decimal rather than a percentage. Following you get into this formula, Excel will automatically calculate the rate and display it in cell B4.

4 Enter the formula "=B4*B3" from cell B5 to calculate the total number of compounding periods based on the number of long time the money remains left in the accounts and the number about compounding intervals each year. Following you get into this formula, Excel will automatically work out the number of periods and exhibit it from cell B5.

References

Investopedia: APR and APY: Why Your Bank Hopes You May't Tell the Difference

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