Commission Type LinearStart Date 1/4/2013 Change ByChit Total Amount ₹ 40,000.00 ₹ 10,000.00No of Months 11 1Initial Commission ₹ 1,000.00 ₹ 100.00Call for Chit 10 1Interest Rate 6.00% 0.25%Monthly Instmt ₹ 3,636.36Net Present Value ₹ 3,573.72Sum Total Cashflow ₹ 4,400.00Rate of Return 3%Total Worth ₹ 4,576.80

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S.No Date Payment Amount1 01/2013 -2,636.00 2 02/2013 -2,736.00 3 03/2013 -2,836.00 4 04/2013 -2,936.00 5 05/2013 -3,036.00 6 06/2013 -3,136.00 7 07/2013 -3,236.00 8 08/2013 -3,336.00 9 09/2013 -3,436.00

10 10/2013 35,360.00 11 11/2013 -3,636.00

Commission Type

Start Date

Chit Total Amount

No of Months

Initial Commission

Call for Chit

Interest Rate

Monthly Instmt

When you select Linear, you are expected to enter the Initial Commission Amount

Enter the Date from when you enter into the chit, to get the payment schedule

The total amount for which the chit fund is raised

The duration of the chit fund in months

It is required when you select the Linear option

The call of chit is when you call of the amount

The savings interest rate, expected from Banks

This takes values (Linear & Dynamic). In case of Linear the commission for chits is computed assuming a linear distribution ranging between the initial commission and zero during the period of the chit.

When you select the Dynamic option, you need to enter the commission for each of the month manually in the payment schedule shown at the right side

The Monthly installment is an amount calculated by dividing the Total chit amount by the duration of chit fund. This only for reference but not for any calculation

Net Present Value

Sum Total CashflowsSum of all cashflows from the payment schedule

Rate of ReturnThis is internal rate of return calculated from the cashflows.

Total Worth

You may change the numbers using the left and right buttons.The numbers under the Change me lets you change by that factorThe View Blog is the button leading to my blog, you can thank me there :)

This is the worth of all the cashflows as on today, assuming the bank rate of interest is as given in the Interest Rate

The decision on when to call a chit or to go for a chit or not can be decided based on this rate. If this rate is higher than the bank rate then it is a good decision

This is assuming the called off chit amount being invested in bank at the interest rate.

The photo posted is the best looking photo of mine, it is to only ensure that the analysis is done by a professional and not some crook :p