CONTINT (continuous compounding interest)

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CONTINT(principal,rate)

 

CONTINT

Computes total continuously compounded interest.

principal

A numeric constant or variable containing the beginning balance, initial deposit, or loan.

rate

A numeric constant or variable containing the applied interest rate for the given time frame.

 

CONTINT computes total continuously compounded interest based on a principal amount (principal) and an applied interest rate (rate). The returned amount includes the original principal plus the interest earned. Applied interest rate may be calculated as follows:

PeriodicRate = AnnualInterestRate / (PeriodsPerYear * 100)

AppliedRate = PeriodicRate * TotalPeriods

 

Return Data Type:     DECIMAL

Internal Formulas:

 

 

Example:

 

PeriodicRate = AnnualInterestRate / (PeriodsPerYear * 100) ! Setup Variables

ActualRate  = PeriodicRate * TotalPeriods

ContinuousInterestAmount = CONTINT(Principal,ActualRate)   ! Call CONTINT