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annuterm

Number of periods to obtain value

Description

example

NumPeriods = annuterm(Rate,Payment,PresentValue) calculates the number of periods needed to obtain a future value. To calculate the number of periods needed to pay off a loan, enter the payment or the present value as a negative value.

example

NumPeriods = annuterm(___,FutureValue,Due) specifies options using one or more optional arguments in addition to the input arguments in the previous syntax.

Examples

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This example shows a savings account with a starting balance of $1500. $200 is added at the end of each month and the account pays 9% interest, compounded monthly. How many months will it take to save $5,000?

NumPeriods = annuterm(0.09/12, 200, 1500, 5000, 0)
NumPeriods = 15.6752

Input Arguments

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Interest-rate per period, specified as a scalar numeric decimal.

Data Types: double

Payment per period, specified as a scalar numeric.

Data Types: double

Present value of the loan, specified as a scalar numeric.

Data Types: double

(Optional) Future value of the loan, specified as a scalar numeric.

Data Types: double

(Optional) When payments are due, specified as a scalar integer with value of 0 (end of period) or 1 (beginning of period).

Data Types: double

Output Arguments

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Number of payment periods, returned as a scalar numeric.

Introduced before R2006a