Cant find two accounting formulas?

USA Discussion in 'General Accountancy Discussion' started by Lucas Zlock, Feb 16, 2017.

  1. Lucas Zlock

    Lucas Zlock

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    What is the formula for an annuity that that I add to each month, and simultaneously grows at a set interest rate annually?

    For example, if I have an annuity that I add $500 to each month, and at the same time grows by 7% every year for 40 years. Please note, it is not compound interest on a single starting amount. It is added to each month.

    Second, what is the formula for a fund that I take a set amount away from every month, yet simultaneously grows by a set interest rate every year?

    For example, if I have an account with $100,000 in it that I take $5,000 from each month, yet grows by 2% annually for 20 years. Please note, it is being taken away from every month, and increasing at a slight rate once per year.

    Thanks!
     
    Lucas Zlock, Feb 16, 2017
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  2. Lucas Zlock

    Fidget VIP Member

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    Just google "annuity tables" and you get a whole host of them - most of them will have the long-hand formula stated on them as well.
     
    Fidget, Feb 16, 2017
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