What is Accumulated Profit?
Accumulated profit is the total profit earned over a period of time, taking into account the initial investment, annual profit rate, and any additional investments made each year. This calculator helps you estimate the accumulated profit based on these inputs.
How to Use the Accumulated Profit Calculator
Follow these steps to calculate your accumulated profit:
- Enter Initial Investment: Input the initial amount of money invested.
- Annual Profit Rate: Enter the annual profit rate as a percentage.
- Number of Years: Input the total number of years for which the investment will be held.
- Additional Investment Per Year: Add any additional amount invested annually.
- Calculate: Click on the "Calculate Accumulated Profit" button to see your accumulated profit and total profit percentage.
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Formulas Used in this Calculator
The formulas used in this calculator are as follows:
Accumulated Profit = Initial Investment × (1 + Annual Profit Rate/100)^Years + Additional Investment Per Year × [(1 + Annual Profit Rate/100)^Years - 1] / (Annual Profit Rate/100)
Total Profit Percentage = [(Accumulated Profit - (Initial Investment + Additional Investment Per Year × Years)) / (Initial Investment + Additional Investment Per Year × Years)] × 100
Using an Accumulated Profit Calculator helps you make informed financial decisions by providing a clear picture of your investment's growth over time. This can guide you in planning your financial future and maximizing your returns.
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