Compound Interest

F_n=P(1+i)^n

EFFECTIVE INTEREST RATE
FORMULA

(1+r/p)^p - 1

ANNUAL SUM DEFINITION & FORMULA

AMOUNT INVESTED EACH YEAR AND HAS A FUTURE VALUE OF Fn AT THE END OF n YEARS.

F=[A(1+i^n)-1]/i

Fn=A(F/A,i,n)

SINKING FUND DEFINITON & FORMULA

MONEY SET ASIDE FOR REPLACING OLD EQUIPMENT

A=F * i/((1+i^n)-1)

OR 

A=F(A/F,i,n) 

PRESENT VALUE OF FUTURE WORTH

FORMULA

P = A [(1+i)ⁿ]/[(1+i)ⁿ - 1]