# CompIntPaid: Compound Interest Paid (Engineering Economics) In iemisc: Irucka Embry's Miscellaneous Functions

## Description

Computes the total amount paid at the end of n periods using compound interest

## Usage

 1 2 3 4 5 6 CompIntPaid( P, n, i, frequency = c("annual", "semiannual", "quarter", "bimonth", "month", "daily") ) 

## Arguments

 P numeric vector that contains the present value(s) n numeric vector that contains the period value(s) i numeric vector that contains the interest rate(s) as a percent frequency character vector that contains the frequency used to obtain the number of periods [annual (1), semiannual (2), quarter (4), bimonth (6), month (12), daily (365)]

## Details

Compound Interest is expressed as

S_n = P≤ft(1 + i\right)^n

P

the "principal amount (lent or borrowed)"

S_n

the "total amount paid back"

i

the "interest rate per interest period"

n

the "number of interest periods"

## Value

CompIntPaid numeric vector that contains the total amount paid at the end of n periods rounded to 2 decimal places

## References

1. SFPE Handbook of Fire Protection Engineering. 3rd Edition, DiNenno, P. J.; Drysdale, D.; Beyler, C. L.; Walton, W. D., Editor(s), 5/93-104 p., 2002. Chapter 7; Section 5; NFPA HFPE-02. See http://fire.nist.gov/bfrlpubs//build02/art155.html.

2. William G. Sullivan, Elin M. Wicks, and C. Patrick Koelling, Engineering Economy, Fourteenth Edition, Upper Saddle River, New Jersey: Pearson/Prentice Hall, 2009, page 120.

3. Chinyere Onwubiko, An Introduction to Engineering, Mission, Kansas: Schroff Development Corporation, 1997, page 205-206.

## Examples

 1 2 3 library("iemisc") # Compound Interest example from SFPE Reference text CompIntPaid(100, 5, 10, frequency = "annual") # the interest rate is 10% 

iemisc documentation built on Aug. 2, 2020, 9:07 a.m.