iemisc (version 0.9.9)

FgivenPcont: Future value given Present value [continuous] (Engineering Economics)

Description

Compute F given P with interest compounded continuously

Usage

FgivenPcont(P, n, r)

Value

FgivenPcont numeric vector that contains the future value(s) rounded to 2 decimal places

Arguments

P

numeric vector that contains the present value(s)

n

numeric vector that contains the period value(s)

r

numeric vector that contains the continuously compounded nominal annual interest rate(s) as a percent

Details

F is expressed as

$$F = Pe^{rn}$$

F

the "future equivalent"

P

the "present equivalent"

r

the "nominal annual interest rate, compounded continuously"

n

the "number of periods (years)"

References

William G. Sullivan, Elin M. Wicks, and C. Patrick Koelling, Engineering Economy, Fourteenth Edition, Upper Saddle River, New Jersey: Pearson/Prentice Hall, 2009, page 169-170.

Examples

library("iemisc")
# Example 4-33 from the Reference text (page 170)
FgivenPcont(10000, 2, 5) # the interest rate is 5%