Compound Interest formula excel template, as we all know, is made using the MS Excel. To be able to make one, a compound interest formula is needed. However, if you are using MS Excel 2003, a single formula that computes compound interest to make a compound interest formula excel template is not yet available. To get one going, you have to organize each field or cell in the table. The formula for each component must be encoded to each cell. The table should have columns for rate of interest, periods of compounding, the original amount of an investment or loan, and the time period of a loan or investment.

How is a compound interest formula excel template made in MS Excel 2003 different from the ones made in newer version of Excel?

MS Excel can give you the correct results if the formula given in each field is correct. To be able to do this, one must input the components of the compound interest formula excel template distinctly. By entering the correct components, one will be able to see the new answer with a different component each time in the compound interest formula excel template. You can see the influence of a greater rate of interest in your total payment or profit. Through giving a new rate of interest in the field that it corresponds then you can compute for another loan or investment with the component input of your choice.

How To Create A Compound Interest Formula Excel Template Using MS Excel 2003?

• The first thing to do in creating a compound interest formula excel template is to name columns or cells with the corresponding compound interest component. Label your first cell of choice as the Original Amount. Label your second cell of choice as the Times of Compounding. Label your third cell of choice as the Annual Rate of Interest. Label your fourth cell of choice as the Time Period. Label your fifth cell of choice as the Rate per Period. And lastly, label your sixth cell of choice as the Total Amount of Interest.
  
• The next thing to do in creating a compound interest formula excel template is entering the correct inputs below their corresponding cell or column.
  
• Next in creating a compound interest formula excel template is entering the correct formulas. For the cell of your choice which will have the interest rate of your time period, this formula should be encoded: =[cell name for annual rate] / ([cell name for the times of compounding] * 100). And for inputs which are in percent form, you should first divide it by 100 to get the correct input.
  
• To get the total amount of interest in compound interest formula excel template, the last formulas should be entered for your cell of choice. The formula is =[cell name for original amount] 8 (1 + [cell name for rate per period])^([cell name for times of compounding]*[cell name for time period])-[cell name for original amount]