Finance

Finance Library for Elixir

Periodic Cash Flow

An annuity of n regular payments or receipts occurring at evenly spaced periods can be represented by the cash flow:

[c0, c1, c2, c3, ....., cn]

Where the outgoings are represented by negative values, and income by positive values.

Calculates the net present value of a cash flow which is represented by a list of values. Its assumed that the time period between values is constant, e.g. monthly, weekly etc.

        c1        c2                cn
 c0 +  -----  + ------- + .... + -------- = 0
       1 + i    (1+i)^2          (1+i)^n

• Simplified functions for periodic fixed amounts
  • Present Value
  • Future Value
  • Payments
  • Number of Payments
  • Rate of Interest per period
• Net Present Value of a periodic cash flow
• Rate conversion IRR to APR, and APR to IRR

Numerical Methods

• Bracketing the root
• Root finder Bisection Method
• Root finder Raphson-Newton Method

Full test suite with examples.