Target future value to Yield 12%, cash flows compounded quarterly

vogtmike

New Member
Joined
Dec 12, 2007
Messages
19
I'm able to fairly successfully calculate a future payoff required to achieve a targeted return (say 12%), on an annual basis, with the following formula

=-NPV(12%,cash flows)*(1+12%)^COUNTA(Periods)

However, I'm trying to adapt this formula for cash flows that are compounded quarterly.

For simplicity, say CF's looked like this:
Q1 '13 -100
Q2 '13 10
Q3 '13 10
Q4 '13 10
Q1 '14 10
Q2 '14 10
Q3 '14 10
Q4 '14 10
Q1 '15 ?

What dynamic formula would you write to show a value that achieves at targeted return of 12% in Q1 '15, with quarterly compounding?
 

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vogtmike

New Member
Joined
Dec 12, 2007
Messages
19
This probably won't please every finance guy, but I'm getting close substituting the rate with the output from =(1+12%)^(0.25)-1
 

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