A=P(1+i)^n

[A=P(1+i)^n]

Trying to do a school project and need to find i in the formula
A=P(1+i/2)^n*2. Also in a different question I need to find n in the
formula A=P(1+i/12)^n*12

 

[Ken Wright]

But what has that got to do with Excel?

This is a paper exercise. Start with

A=P(1+i/2)^n*2 => A/P=(1+i/2)^n*2 => A/2P=(1+i/2)^n => (A/2P)^(1/n)=1+i/2
etc

Just follow the same steps for the second equation.

 

[Bernard Liengme]

Generally we do not do homework but here's hint for the second question:
take logs

Bernard

 

[Dana DeLouis]

Just guessing, but it looks like a financial equation. See if using
Excel's functions NPER and RATE would help. (for your n & i).

 

[Tushar Mehta]

While what you did is correct given XL's rules of operator precedence,
the OP meant ^(n*2). The formula s/he started with calculates the
final amount A given a principal P compounded at a periodic rate of i
over n periods with compounding occuring every t intervals (where n/t
is an integer). Then, A=P(1+i/t)^(n*t)

--
Regards,

Tushar Mehta
www.tushar-mehta.com
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