NumberOfPeriods

Calculate the number of periods for an investment

Declaration

Source position: math.pp line 617

  function NumberOfPeriods(ARate: Float; APayment: Float; 
                          APresentValue: Float; AFutureValue: Float; 
                          APaymentTime: TPaymentTime) : Float;

Description

NumberOfPeriods calculates the number of periods (n) needed to obtain future value of an investment in the cash flow formula (see CashFlowFunctions ). The function result is the number of periods a payment APayment (PMT) must be paid in order to obtain a future value AFutureValue for an investment of a start value APresentValue (PV), where APayment (PMT) is invested at a rate ARate (q).

The APaymentTime parameter determines whether the investment (payment) is an ordinary annuity or an annuity due: ptEndOfPeriod NumberOfPeriods must be used if payments are at the end of each period. If the payments are at the beginning of the periode, ptStartOfPeriod must be used.

See also