final_balance: Calculate Final Balance Based on Initial Balance and Vector...
In stocks: Stock Market Analysis

Description Usage Arguments Value Author(s) References See Also Examples

Calculated as: initial * prod(ratios).

1	final.balance(ratios, initial = 10000)

`ratios`	Numeric vector of ratios between subsequent stock prices (i.e. proportion gains + 1). For example, if a stock gained 3%, lost 1%, then lost 2%, ratios would be `c(1.03, 0.99, 0.98)`.
`initial`	Initial balance.

Numeric vector indicating final balance.

Dane R. Van Domelen

Acknowledgment: This material is based upon work supported by the National Science Foundation Graduate Research Fellowship under Grant No. DGE-0940903.

balances

# Randomly generate daily stock gains over a 5-year period
set.seed(123)
stockgains <- rnorm(252 * 5, 1.0003, 0.02)

# Calculate final balance if initial balance was $10,000
final.balance(stockgains)