Deriving the formula for the Future value of an Annuity

[@tranduy8553]

thank you Sir. by only understanding how the formula work, we can remember the formula and understand the meaning for the finance concept. Great work

[@shwetachavan1577]

Thank you for detailed explanation, It helped me with formula understanding :)

[@inchekpemerhati]

hi. thank you. this helps very much. however, it needs 1 correction. the sum of geometric series is a(1-r^n+1)/(1-r) (you missed n+1) having been derived from n+1 terms (r^0 to r^n) in the series. the annuity series on the other hand goes only up to n-1. when you substitute i into r (minute 9:40) it becomes ... (1+i)^[(n-1)+1] then only you get the correct final formula.

[@universe4926]

Thanks Sir. It helps a lot!!

[@danielarthur6974]

God bless you

[@hugeturnip3520]

oh my god youre an absolute legend ive been looking for this for HOURS thank you so much

[@manojmali19]

maadar bhagat👍

[@ll1100000]

Very good video with clearly explanations! I do not have any financial experience, but after I watched several videos to learn how to calculate FV, I found this one is the best one!! Please make an video for "future value of an uneven annuity" Thank you!!!

[@crux1013]

Hello, just wanna ask why does the series started from the last term instead of the first? Thank you!

[@anmolkaur3895]

Thank you so much sir for the derivation of this formula . As this video gives me clarity regarding this concept👍👍👌👌

[@MatricRewrites]

Awesome!!!

[@darshannagarz987]

Thankyou so much sir🙏

[@13universalsoldier]

Brilliance

[@krishnamoorthykn3219]

Thank you for the explanation!

[@jonahkollenberg1060]

There is nothing better than finding a familiar accent on a tutorial

[@MatricRewrites]

Ha! And there are few things better than a nice comment on a youtube vid ;)

[@profusionfitness]

This is a great explanation, thank you very much

[@jayrajjavheri8740]

Superb explanation ..You are God of mathematics. I request you to also make more videos on financial mathematics

[@alexknorr1152]

How would the formula change if there was already money in the account at time zero? say you start investing a small recurring payment into an account where there was already 10k ?

[@MatricRewrites]

What would the formula be if it was ONLY the original investment earning interest?

[@AbdulQadir-gf5nv]

Thank you so much

[@jeloracl826]

Very Helpful! Thanks!

[@annog6673]

Question: what happens if the interest rate is 0 %? The FV should be n*a? What trick do you apply to the formula?

[@MatricRewrites]

x+x(1+0)+x(1+0)^2+x(1+0)^3+...+x(1+0)^(n-2)+x(1+0)^(n-1) = x+x+x+x+...+x+x =nx So if you have a 0 interest rate and you make n payments of x then you have nx saved.

[@LUHARify]

excellent video

[@aenimosity7]

Great explanation, thank you!

[@MatricRewrites]

Hehe.... Actually in RSA they are called Hadidas from the sound they make (ha-haaa-ha), large dark grey birds with a long (20 cm) thin sharp beak - but you are right they like series: ha;haaa;ha...

[@johnchadles3263]

Thought you were from sunny South Africa. Thanks for the video :)

[@Linhbell96]

Magical!!! That is all I can say :)

[@NatureVideo___]

Thank you so much, sir.

[@preetam404]

very clear.. thank you..

[@Mixingmudit]

Thank u

[@habibmusabbir484]

thank you contributor.

[@chitradevimaheshwari8877]

Only 6 K subscribers on an educational channel.......Clearly shows where the millenials' interest lies........Best of luck from my side......👍

[@LordMgls]

10:53 seagull likes series

[@shana2538]

SA dude xD