FV
The FV function returns the future value of an investment based on periodic constant payments and a constant interest rate. The future value is the closing amount that you will receive/pay at the end of the period.
Syntax
FV(Rate, Nper, Pmt?, PV, Type?) - > Number
Arguments
Example
Consider a series of $2000 payments made at the end of each year for 6 years for an investment. The objective is to calculate the future value at the end of 6 years where the interest rate is 5%.
To calculate the future value, the following formula should be entered in the [FV] node:
FV
(
[Interest Rate]
,
[Number of Periods]
,
[Payment]
,0,0)
Result
The value of $2000 keeps increasing at the end of each year by the interest rate of 5% giving a value of 13603.83 by the end of 6 years.
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