The Uniform Series Sinking Fund (USSF) factor calculator computes the USSF based on the interest rate per period and the number of periods.
INSTRUCTIONS: Enter the following:
Uniform Series Sinking Fund factor (USSF): The calculator returns the factor as a real number.
`USSF = i / ( (1+i)^n -1)`
The USSF is a Discrete Compounding Discount Factor. Often, a sinking fund is created by an organization through saving money over a period of time to fund a future capital expense or repay a long-term debt.
This equation calculate the discount factor used to calculate annualized cash flow from a future worth.
This is the constant periodic amount, at a constant interest rate that must be deposited to accumulate a future value.