Calculate the compound interest rate without periodic payment for a given present and future value over a specified duration.

Compound Interest Rate without Periodic Payment

Purpose

The purpose of this function is to calculate the Compound Interest Rate without any periodic payments. It helps users understand the growth rate of their investment over a specific duration.

Use Cases

• Calculating the compound interest rate on an investment without any additional periodic payments.
• Understanding the potential growth of savings or investments over time.

How to Use

To use this function, simply input the required values and the function will calculate the compound interest rate for you.

Input Values

1. Present Value: The initial amount of money invested.
2. Future Value: The total amount of money after a specific duration.
3. Duration: The time period for which the investment is held. (default unit is year)
4. Interest Interval: The frequency at which interest is compounded. (default unit is month)

Output Values

1. Periodic Interest Rate: The calculated compound interest rate.
2. Annual Interest Rate: The annualized compound interest rate.

Any other Instruction

• Ensure to input the correct values for accurate results.
• Review the calculated interest rate to understand the growth of your investment.

Code Analysis

1. The function calculates the compound interest rate based on the formula.
2. It converts the result into a percentage format for better understanding.
3. The function returns the periodic and annualized interest rates.

Technical Parameters

present_value, future_value, duration, interest_interval

Return Values

Periodic Interest Rate, Annual Interest Rate

Example Expressions

You can use the following expressions to directly evaluate in a non-interactive manner using eva().

eva(cir(present_value=500, future_value=800, duration='3 yr', interest_interval='qtr'))
eva(cir(present_value=1000, future_value=1500, duration='2 yr', interest_interval='mo'))

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