Annuity from present value

Input(s)

$i \_e$: Effective Interest or Discount Rate (fraction)

$\mathrm{t}$: Time (year)

$P_{v}$: Annuity from Present Value (currency unit)

Output(s)

$A_{v}$: Annuity from Present Value (currency unit)

Formula(s)

$$ A_{v}=P_{v} *\left(\frac{i_{e} *\left(\left(1+i_{e}\right)^{t}\right)}{\left(\left(1+i_{e}\right)^{t}\right)-1}\right) $$

Reference(s)

Mian, M. A. 2011. Project Economics and Decision Analysis Volume 1: Deterministic Models, Second Edition. Tulsa, Oklahoma: PennWell Corporation. Chapter 2, Page: 56.