Uniform Gradient Future Worth (UGFW)

The Uniform Gradient Future Worth (UGFW) calculator computes the Uniform Gradient Future Worth (UGFW) factor based on an interest rate for a period, and a number of periods.

INSTRUCTIONS: Enter the following:

• (n) - Number of periods to calculate a discount factor
• (i) - Interest rate (e.g. 4.5% interest rate)

Uniform Gradient (UGFW): The calculator returns the gradient factor.

General Information

This UGFW represents future worth given a uniform gradient (interest effective rate per period).  The formula for the Uniform Gradient Future Worth (UGFW) is:

`UGFW =  ( (1+i)^n - 1)/(i^2)   - n/i`

where:

• UGFW is the Uniform Gradient Future Worth (UGFW)
• n is the number of periods
• i is the interest rate per period.

EXAMPLE:  If the inputs are:

• n = 20 periods of uniformly increasing cash flows
• i = 4.7 % 

The UGFW is approximately: 256.10, which can be used to convert a gradient cash flow into a future value.

Present and Future Worth Calculators

• (SPCA) Single Payment Compound Amount Factor
• (USSF) Uniform Series Sinking Fund Factor 
• (SPPW) Single Payment Present Worth Factor
• (UGFW) Uniform Gradient Future Worth Factor 
• (UGPW) Uniform Gradient Present Worth Factor 
• (UGUS) Uniform Gradient Uniform Series Factor 
• (USCA) Uniform Series Compound Amount Factor 
• (USPW) Uniform Series Present Worth Factor 

REFERENCE

• Lindeburg, Michael R (1992). Engineer In Training Reference Manual. Professional Publication, Inc. 8th Edition.