Return On Investment Deposits IRR

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Financial Calculators Help Page

 

 

 

 

 

 

You can use this calculator to find the value of an investment at a future date.

 

You can solve four separate values.

End Date

Lump Sum

End Value

ROI [%] = Return On Investment %

 

Example:

 

You currently have $10,000.00 and you want to know how long it will take to achieve your goal of $30,000.00 to buy a new car.

 

Starting Value - Enter 10000

Start Date - Enter 01/29/02 (January 29, 2002)

Leave the End Date

Lump Sum - Enter 0

End Value - Enter 30000

ROI [%] - Enter the Return on Investment you think you will achieve.

For our Example

ROI [%] - Enter 6.5

Your End Date may be different at this point.

Your screen should look like this

 

 

 

Click the ? beside the End Date field.

The End Date should now read - 07/07/2019

You will have your new car July 7, 2019

 

You do not want to wait that long. Seventeen years is a long time.

 

You remember that you will be getting a bonus next year December 1, 2003.

You feel it will be about $5000.00

 

Click the ADD button under the <Deposits / Withdrawals> section.

A fill in box appears

 

Date - Enter 12/01/03

Amount - Enter 5000

Click OK

You are returned to the calculator and your deposit is entered in the spreadsheet.

Click the ? beside the End Date.

The End Date now shows September 1st, 2013.

Click the Create Button.

The ROI [%] may change to something close to 6.5.

6.4993 for example.

 

NOTE: This is due to the fact that to achieve an exact match the End Date would fall in the middle of a day. The calculator calculates a rate of return that is as exact as it can be. The calculator will not show partial days.

 

You still do not want to wait that long for your new car.

You would like to have enough by June 1, 2007

You feel that you should be able to use some of your savings by then.

You want to know how much you should save.

End Date - Enter  06/01/07

Lump Sum - Enter  1 and click your tab key to activate the Deposit Date field.

Deposit Date - Enter 5/31/07 The day before you want to buy your car.

ROI [%] - Re enter 6.5 if it has changed.

Click the ? beside Lump Sum

You will have to save a further 9,767.68 to have enough to buy your car.

 

This is only one simple example of how to use this calculator.