6 functions of a dollar

6 functions of a dollar Among the functions you will use in your life the Six Functions of a Dollar will hit the charts in the top ten Here are materials I have developed to help you learn their significance and proper implementation

The closed captioning for this video is provided as a function of YouTube as such the BOE is not attesting to the accuracy of the closed captioning text O Six Functions of a Dollar Amortization of Present Value aka Partial Payment Factor Amortization of Future Value aka Sinking Fund Factor Present Value of an Annuity Future Value of an Annuity Present Value

6 functions of a dollar

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6 functions of a dollar
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The six compound interest functions are listed below the following table briefly describes each function and gives an example of how it might be used Future Worth of 1 FW 1 Present Worth of 1 PW 1 It is a method of finding today s value for the right to receive future benefits income that a property may yield Each future benefit income payment is discounted using one of the six functions summarized below The present value is the sum of all the discounted payments

Most Common Uses of Six Functions of a Dollar This page summarizes common applications for each of the six functions and shows the formula for each function Three Excel formulas are required to perform the six function calculations In the handout on present values we learned how to 1 Compute the future value of a one time deposit compounding 2 Compute the future value of a series of periodic payments an annuity 3 Compute the present value of a one time future receipt discounting

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The Six Functions of a Dollar How many periods compounded anually Annual Compound Int or the Hurdel Rate if applies in decimals What is the term of the function in years The six functions are Future value Future value of an annuity Present value Present value of an annuity Sinking fund amount Mortgage payment amount examples Here are some real world examples that highlight the use of each of the six functions Future value

The six functions of a dollar are A Amount of 1 The amount to which 1 will grow Amount of 1 Per Period The amount to which 1 per period will grow Sinking Fund Factor The amount per period which will grow to 1 Present Value of 1 What 1 due in the future is worth today Time Value of Money Six Functions of a Dollar The purpose of this training session is to explain the compound interest functions presented in Assessors Handbook Section 505 Capitalization Formulas and Tables the key concepts of the time value of

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6 functions of a dollar - Table A Six Functions of a Dollar Table A Six Functions of a Dollar 10 00 Annual Interest Rate Sinking Fund Factor I OOOOOO 0 476190 0 3021 15 0 21 5471 O 163797 o 129607 O 105405 0 087444 0 073641 0 062745 0 053963 0 046763 0 040779 0 035746 0 031474 0 027817 0 024664 0 021930 9547 7460 0 01 5624 4005 2572 1300 68 0 0091 59 0