How to calculate compound interest?

Jakest

New Member
Joined
Oct 10, 2019
Messages
7
hello first post here

i want to learn to calculate compound interest using excel
how do i do that?

let say i have 1000$ and it gets 10% raised every week
how do i calculate the total growth in 1 year?
 

Some videos you may like

Excel Facts

Convert text numbers to real numbers
Select a column containing text numbers. Press Alt+D E F to quickly convert text to numbers. Faster than "Convert to Number"

Finalfight40

Active Member
Joined
Apr 24, 2018
Messages
273
Office Version
365
Platform
Windows
Can you not use the same idea provided in the link by Special-k99?

Where you have

=A1*(1+B1)^C1

where A1 is the initial value
B1 is the interest
C1 is the number of weeks
 

James006

Well-known Member
Joined
Apr 4, 2009
Messages
3,680
Hello,

First step is to determine if your interest rate is

A. 10% per year
or
B. 10% per week ...

Formula is = Amount * (1+i)^52

A. gives a result : 142'042.93

B. gives a result : 1'105.06

There is a tiny difference ...!!!
 
Last edited:

Jakest

New Member
Joined
Oct 10, 2019
Messages
7
let say i get 10$ every week
and im getting 10% raise every week

how much it will be the amount in 52 and 104 weeks?
 

James006

Well-known Member
Joined
Apr 4, 2009
Messages
3,680
Impressive 10% per week ... !!!

Mathematically :

1'000 * ( 1 + 10% ) ^ 52 = 142' 042.93

1'000 * ( 1 + 10% ) ^ 104 = 20'176'194.52
 

Finalfight40

Active Member
Joined
Apr 24, 2018
Messages
273
Office Version
365
Platform
Windows
shouldn't be 10 instead of 1,000?
Also i just want to add something else you said which either i misunderstood or James missed.

For your newest example did you want to add 10% interest AND an extra $10 each week?
 

Forum statistics

Threads
1,089,201
Messages
5,406,801
Members
403,106
Latest member
AliO

This Week's Hot Topics

Top