×

X

ADVERTISEMENT

Table of Contents:

Formula

**N = [ log ( 1 + [ ( r*F ) / P ] ) ] / ( log (1+r) )**

**Where,**

P = Payment Amount

F = Future Amount

r = Rate of Interest (compounded)

N = Number of Payments

Rate of Interest Compounded is,

If Monthly,

r = i / 1200

If Quarterly,

r = i / 400

If Half yearly,

r = i / 200

If Yearly,

r = i / 100

Investment is defined as any use of resources intended to increase future production output or income. An investment is an asset purchased for profit, whether via income or capital appreciation, or some combination.

Investment is an asset or item that is purchased with the intention to generate income or appreciate in the future.

**Examples:**

[Log (1+[(5%+100000)/1000])] / (log (1+5))

Log( 1+(105000)/1000) / log (1.05) = **83.77**

Therefore the number of payment in investment is 83.77 times.

ADVERTISEMENT