Help wanted for FV and XIRR

[rushatiindia]

Problem 1:

Rate of Interest (ROI): 7.50% - Compounded Quarterly

Annual Rate Compounded: =FV(7.50%/4,4,0,-1)-1 ie 0.0771

Minimum Investment=Rs. 10/- per month

Term = 5 years

What will be FV formula to calculate the Net Return?

Net Return should be: Rs. 728.9, Since XIRR showing 7.71% for Rs. 10/- pm

Problem 2:

I would like to know whether the xirr calculation showing correct result.

First a person invest Rs. 100000 in a MIS (Monthly Income Scheme) for 6 years from which he will get Rs. 666 per month as return. At the end of the scheme the Capital will be refunded to the investor.

Second the aforesaid Rs. 666 will reinvest into a Recurring Deposit (mentioned above) automatically.

What will be Internal Rate of Return?

In my calculation it is showing Less than the First calculation. In my opinion it should be more than First XIRR calculaton.

Example:

			   MIS			 RD			  MIS+RD

XIRR=		8.19%		7.71%		8.11%		

1		-100000				-100000		01/04/2007
2		666		-666		0		01/05/2007
3		666		-666		0		01/06/2007
4		666		-666		0		01/07/2007
5		666		-666		0		01/08/2007
6		666		-666		0		01/09/2007
7		666		-666		0		01/10/2007
8		666		-666		0		01/11/2007
9		666		-666		0		01/12/2007
10		666		-666		0		01/01/2008
11		666		-666		0		01/02/2008
12		666		-666		0		01/03/2008
13		666		-666		0		01/04/2008
14		666		-666		0		01/05/2008
15		666		-666		0		01/06/2008
16		666		-666		0		01/07/2008
17		666		-666		0		01/08/2008
18		666		-666		0		01/09/2008
19		666		-666		0		01/10/2008
20		666		-666		0		01/11/2008
21		666		-666		0		01/12/2008
22		666		-666		0		01/01/2009
23		666		-666		0		01/02/2009
24		666		-666		0		01/03/2009
25		666		-666		0		01/04/2009
26		666		-666		0		01/05/2009
27		666		-666		0		01/06/2009
28		666		-666		0		01/07/2009
29		666		-666		0		01/08/2009
30		666		-666		0		01/09/2009
31		666		-666		0		01/10/2009
32		666		-666		0		01/11/2009
33		666		-666		0		01/12/2009
34		666		-666		0		01/01/2010
35		666		-666		0		01/02/2010
36		666		-666		0		01/03/2010
37		666		-666		0		01/04/2010
38		666		-666		0		01/05/2010
39		666		-666		0		01/06/2010
40		666		-666		0		01/07/2010
41		666		-666		0		01/08/2010
42		666		-666		0		01/09/2010
43		666		-666		0		01/10/2010
44		666		-666		0		01/11/2010
45		666		-666		0		01/12/2010
46		666		-666		0		01/01/2011
47		666		-666		0		01/02/2011
48		666		-666		0		01/03/2011
49		666		-666		0		01/04/2011
50		666		-666		0		01/05/2011
51		666		-666		0		01/06/2011
52		666		-666		0		01/07/2011
53		666		-666		0		01/08/2011
54		666		-666		0		01/09/2011
55		666		-666		0		01/10/2011
56		666		-666		0		01/11/2011
57		666		-666		0		01/12/2011
58		666		-666		0		01/01/2012
59		666		-666		0		01/02/2012
60		666		-666		0		01/03/2012
61		666		-666		0		01/04/2012
62		666		48544.74   49210.74		01/05/2012
63		666				666		01/06/2012
64		666				666		01/07/2012
65		666				666		01/08/2012
66		666				666		01/09/2012
67		666				666		01/10/2012
68		666				666		01/11/2012
69		666				666		01/12/2012
70		666				666		01/01/2013
71		666				666		01/02/2013
72		666				666		01/03/2013
73		100000				100000		01/04/2013

fvxirr.txt

Edited April 11, 2007 by rushatiindia