Modern Finance GrowthFactor

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GrowthFactor

Returns what one unit grows to over a whole number of periods at a rate, exactly.

Syntax

GrowthFactor( ratePerPeriod, periods )

Examples

#import "std/money"
using money

'' ( 1 + i )^n for an INTEGER n, EXACT, by binary exponentiation -- about
'' thirteen Decimal multiplies for a 360-period term rather than 360.
dim as Decimal i = DecimalParse( "0.005" ).Value( )

print GrowthFactor( i, 0 ).Value( ).ToString( )          '' 1
print GrowthFactor( i, 12 ).Value( ).ToStringFixed( 8 )  '' 1.06167781

'' A terminating rate stays exact: 1.5^8.
print GrowthFactor( DecimalParse( "0.5" ).Value( ), 8 ).Value( ).ToString( )   '' 25.62890625

'' Past a 96-bit mantissa it is a NAMED refusal, not a silent loss.
dim as boolean overflowed = _
    ( GrowthFactor( DecimalFromInt( 2 ), 200 ).Failure( ).Code( ) = FIN_OVERFLOW )
print overflowed                                         '' true

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Library: Finance
Category: Finance
Documented under: Nothing Becomes A Keyword
Source: pkg/std/money/fincore.tiko in the tiko repository.