Microsoft Office Tutorials and References

In Depth Information

**Generating Financial Results**

See Figure 2.4 for the setup and example. In the example, the functions formula is derived by

using cell referencing. Where
nper
is number of periods,
pv
is present value, and
type
is the

timing of the payment. See the bottom of Figure 2.4 for the Timing description.

CUMPRINC

CUMPRINC
returns the cumulative principal amount between start and stop dates.

See Figure 2.4 for the setup and example. In the example, the functions formula is derived by

using cell referencing. Where
nper
is number of periods,
pv
is present value, and
type
is the

timing of the payment. See the bottom of Figure 2.4 for the Timing description.

IPMT

IPMT
returns the interest payment for a period of time based on an investment with periodic

constant payments and a constant interest rate.

See Figure 2.4 for the setup and example. In the example, the functions formula is derived by

using cell referencing. Where
nper
is number of periods and
pv
is present value,
per
is the

period for which you want to see what the interest payment would be, and
type
is the timing

of the payment. See the bottom of Figure 2.4 for the Timing description.

FV
Return the future value of periodic payments and a constant interest rate by using the
FV
function.

See Figure 2.4 for the setup and example. In the example, the functions formula is derived by

using cell referencing. The
FV
function is used primarily for finding the payments over a period

of time to reach a specific goal or lump sum. Notice in Figure 2.4 that the deposit amount or

present value is 1,000, the constant payments is 200, the
nper
is the number of periods, and

type
is the timing of the payment. See the bottom of Figure 2.4 for the Timing description.

Figure 2.4

These common

FINANCIAL
functions

are essential for

managing your

personal finances.