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Future Value of Annuity Due

An annuity is a series of payments made at equal intervals. An annuity due is an annuity whose payments are made at the beginning of each period. The future value of an annuity due is the accumulated amount, including payments and interest, of a stream of payments made to an interest-bearing account.

The future value of an annuity due depends on the value of periodic payments multiplied by the interest compounded over the number of periods, accounting for the frequency of payments and any growth in the periodic payments.

Formula

QuantityVariable["FV", "Money"] == ((1 + QuantityVariable["i", "Unitless"]/QuantityVariable["f", "Unitless"])*(-(1 + QuantityVariable["g", "Unitless"])^(QuantityVariable["f", "Unitless"]*QuantityVariable["n", "Unitless"]) + (1 + QuantityVariable["i", "Unitless"]/QuantityVariable["f", "Unitless"])^(QuantityVariable["f", "Unitless"]*QuantityVariable["n", "Unitless"]))*QuantityVariable["PMT", "Money"])/(-QuantityVariable["g", "Unitless"] + QuantityVariable["i", "Unitless"]/QuantityVariable["f", "Unitless"])

symbol description physical quantity
FV future value "Money"
f payments per period "Unitless"
i interest rate "Unitless"
g periodic payment growth rate "Unitless"
n number of periods "Unitless"
PMT periodic payment "Money"

Forms

Examples

Get the resource:

In[1]:=
ResourceObject["Future Value of Annuity Due"]
Out[1]=

Get the formula:

In[2]:=
FormulaData[ResourceObject["Future Value of Annuity Due"]]
Out[2]=

Use some values:

In[3]:=
FormulaData[ ResourceObject[ "Future Value of Annuity Due"], {QuantityVariable["f","Unitless"] -> 1, QuantityVariable["g","Unitless"] -> Quantity[3, "Percent"]}]
Out[3]=

Publisher Information