VB & VBA in a Nutshell: The Language

FV Function

Named Arguments

Yes

Syntax

FV(rate, nper, pmt[, pv [, due]])

rate

Use: Required

Data Type: Double

The interest rate per period.

nper

Use: Required

Data Type: Integer

The number of payment periods in the annuity.

pmt

Use: Required

Data Type: Double

The payment made in each period.

pv

Use: Optional

Data Type: Variant

The present value of the loan or annuity.

due

Use: Optional

Data Type: Variant

Flag specifying whether payments are due at the start or the end of the period.

Return Value

A Double specifying the future value of an annuity.

Description

Calculates the future value of an annuity (either an investment or loan) based on a regular number of payments of a fixed value and a static interest rate over the period of the annuity.

Rules at a Glance

• The time units used for the number of payment periods, the rate of interest, and the payment amount must be the same. In other words, if you state the payment period in months, you must also express the interest rate as a monthly rate and the amount paid per month.

• The rate per period is stated as a fraction of 100. For example 10% is stated as .10. If you are calculating using monthly periods, you must also divide the rate per period by 12. Therefore, 10% per annum, for example, equates to a rate per period of .00833.

• The pv argument is most commonly used as the initial value of a loan. The default is 0.

• Payments made against a loan or added to the value of savings are expressed in negative numbers.

• The due argument indicates ...