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solaris:annuity.3sunmath

annuity


NAME

annuity, annuityf, annuityl, compound, compoundf, compoundl - financial functions

SYNOPSIS

cc [ flag … ] file-lsunmath -lm [ library … ]

#include <sunmath.h>

double annuity(double r, double n);

float annuityf(float r, float n);

long double annuityl(long double r, long double n);

double compound(double r, double n);

float compoundf(float r, float n);

long double compoundl(long double r, long double n);

DESCRIPTION

These functions are useful in financial computations of the effect of interest at periodic rate r over n periods.

annuity(r, n) computes the present value of annuity factor, (1 - (1+r)**-n) / r. compound(r, n) computes the compound interest factor, (1+r)**n. Both functions return NaN when r ⇐ -1. For sensible values of r and n, these functions are evaluated carefully so as to yield accurate results and avoid spurious floating-point exceptions. In this respect, they are superior to a literal evaluation of the corresponding expressions using the pow(3M) function.

EXAMPLES

The value of an initial principal P0 after earning interest at periodic rate r for n periods is P = P0 * compound(r, n). Thus a principal amount P0 placed at 5% annual interest compounded quarterly for 30 years would yield

P = P0 * compound(.05 / 4, 30.0 * 4)

Given an initial principal P0, the equivalent periodic payment is p = P0 / annuity(r, n). So a conventional fixed-rate 30-year home loan of amount P0 at 10% annual interest would be amortized by monthly payments in the amount

p = P0 / annuity(.10 / 12, 30.0 * 12)

ATTRIBUTES

See attributes(7) for descriptions of the following attributes:

SEE ALSO

pow(3M), attributes(7)


solaris/annuity.3sunmath.txt · Last modified: 2023/07/19 08:57 by A User Not Logged in