Since we all know that MS Excel is software used for various types of calculations and other managerial roles like evaluations and assessments, which can differ in their values and prepositions. This applications is simple in used and works on some pre-defined formulas for its functionalists. The under discussion chapter of compound interest is also very a useful task that can be easily done on MS Excel.
You can evaluate compound interest on Excel compound interest calculation templates for this purpose. Compound interest is the additional value markup which is charged over the added value of interest on each month or the devised charging tenure. Over each charging, the interest is added to the capital value and for the next tenure; the interest is charges on the grand value.It’s been use in calculating Forex trading data in excel format.
Calculate Interest Using Chartered Templates
Instead of getting into troublesome process and creating difficult scenario for interest calculation, it is rather devised to add a super best created template for interest calculation. These templates can be utilize for desired period of time of interest charging either bi-yearly, quarterly or annually, whatever seems feasible according to the work policy.
For calculating the compound interest using MS Excel, following procedure can be followed;
- Open a new empty plain spreadsheet.
- Add a column headings corresponding to the values to be placed in first row.
- Add columns of amount invested, annual interest rate, time or terms of interest charges, number of times compounded annually, number of years for calculations, future value of capital amount.
- Then place a value of amount for which you have to calculate the amount of interest over the desired period of time.
- Then place the formula of compound interest calculation in the second row and column of future value.
- Mention the annual percentage rate of calculation and other values in the second row, corresponding to the column.
Over the deployment of all the data and information, it will sharply calculate the compound interest on the whole amount fixed in.
Why Using Excel?
If emphasized on a question that why Excel for every calculation, the answer is simplicity and perfection in the capital results. MS Excel is a problem free, least complicated and simple calculation software application that assists in all types of evaluations and assessments, leading for the project tasks to the complex managerial roles. It always helps you determine the desired results using simply formed templates and spreadsheets which are easy to understand and work on.
Calculate Interest Using Excel Spreadsheet Saves Time and Effort from the Scratch
Using pre-formed well created interest calculation excel templates, compound interest can be calculated and within a few seconds, just by entering the current and desired values of calculation parameters rather than applying the conditions and orientations from the scratch every time. These templates are easy to understand works well when the matter comes to bundle calculations.