Using Excel function, calculate the future value of an investment of ₹1,00,000/ over 5 years. The investment earns interest of 8% during the first two years, 6.5% in third year and 6% during 4th and 5th years.

CS Professional · Valuations & Business Modelling · PYQS · June 2019
Using Excel function, calculate the future value of an investment of ₹1,00,000/ over 5 years. The investment earns interest of 8% during the first two years, 6.5% in third year and 6% during 4th and 5th years.

Answer & Explanation:

₹100,000 + (₹100,000 * 8%) + (₹108,000 * 8%) + (₹1,16,640 * 6.5%) + (₹1,24,222 * 6%) + (₹1,31,675 * 6%) = ₹1,39,575

Topics: Financial Functions

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