Creation the formula of Compound interest through DO loop

[Purushottam]

Dear All,

I am new in the Analytics. I want to learn most of the concept. i am working on basics of do loop. but i am not able to create the formula for Compound interest. Kindly Help me in this Matter.

thanks.

codes are

data CI;

principle=100000;

rate=0.10;

do year=1 to 10;

principle+principle{(1+0.10)**10};

output;
end;

run;

[ballardw · Accepted solution]

I would strongly recommend looking in the online help for the Financial functions. Depending on the type of compounding but there is the Finance function, Mort, Saving and Yield that do a variety of different interest function calculations.

[Purushottam]

Dear, How can be Take the online help in Finance

[Reeza]

GOOGLE: SAS 9.4 FINANCE FUNCTIONS

First Hit:
https://support.sas.com/documentation/cdl/en/lefunctionsref/67960/HTML/default/viewer.htm#p1cnn1jwdm...

Third Hit:

http://support.sas.com/documentation/cdl/en/lefunctionsref/67960/HTML/default/viewer.htm#p0w6napahk6...

[Reeza]

You're missing principle= in your formula and your brackets don't quite make sense. Also raising it to the power of 10 doesn't make sense to me...

The following runs, but I don't think its what you want:

data CI;

principle=100000;

rate=0.10;

do year=1 to 10;

principle=principle+principle*((1+0.10)**10);

output;
end;

format principle dollar21.2;

run;

[Purushottam]

Dear Reeza,

I am very thankful for your coding. thses are really working.

thanks a lot again.

[MikeZdeb]

Hi, as suggested, a function ...

data ci (keep=period principle);
retain initial 100000 rate 0.10;
do period=1 to 10;
  principle = compound(initial, . , rate, period);
  output;
end;
format principle dollar10.;
run;

period     principle

   1        $110,000
   2        $121,000
   3        $133,100
   4        $146,410
   5        $161,051
   6        $177,156
   7        $194,872
   8        $214,359
   9        $235,795
  10        $259,374

your formula (via Reeza's code), very generous if savings, usury if a loan ...

year                principle

  1               $359,374.25
  2             $1,291,498.49
  3             $4,641,312.95
  4            $16,679,683.42
  5            $59,942,486.52
  6           $215,417,858.97
  7           $774,156,306.45
  8         $2,782,118,389.25
  9         $9,998,216,984.47
 10        $35,931,016,902.39