## This compounding interest calculator shows how compounding can boost your You can calculate based on daily, monthly, or yearly compounding. had an annual compounded rate of return of 6.6%, including reinvestment of dividends.

Compound Interest Formula: S = P(1+i)^n. Where S = amount. P = principal i = Interest rate per conversion period n = total number of conversion periods.

If the interest on your investment is paid monthly (while being quoted as an annual interest rate), the Excel compound interest formula becomes: =P*(1+r/12)^(n*12) where, r = Interest Rate (as a decimal value), and ; n = Number of Periods . And by rearranging that formula (see Compound Interest Formula Derivation) we can find any value when we know the other three: PV = FV(1+r) n. Finds the Present Value when you know a Future Value, the Interest Rate and number of Periods. r = (FV/PV) (1/n) − 1