# PgivenF: Present value given Future value (Engineering Economics) In iemisc: Irucka Embry's Miscellaneous Functions

## Description

Compute P given F

## Usage

  1 2 3 4 5 6 7 8 9 10 11 12 13 PgivenF( F, n, i, frequency = c("annual", "semiannual", "quarter", "bimonth", "month", "daily") ) PF( F, n, i, frequency = c("annual", "semiannual", "quarter", "bimonth", "month", "daily") ) 

## Arguments

 F numeric vector that contains the future 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

P is expressed as

P = F≤ft[\frac{1}{≤ft(1 + i\right)^n}\right]

P

the "present equivalent"

F

the "future equivalent"

i

the "effective interest rate per interest period"

n

the "number of interest periods"

## Value

PgivenF numeric vector that contains the present value(s) rounded to 2 decimal places

PF data.frame of both n (0 to n) and the resulting present values rounded to 2 decimal places

## References

William G. Sullivan, Elin M. Wicks, and C. Patrick Koelling, Engineering Economy, Fourteenth Edition, Upper Saddle River, New Jersey: Pearson/Prentice Hall, 2009, page 128, 142, 164.

## Examples

 1 2 3 4 5 library("iemisc") # Example 4-4 from the Reference text (page 128) PgivenF(10000, 6, 8, "annual") # the interest rate is 8% PF(10000, 6, 8, "annual") # the interest rate is 8% 

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