Future Value of Money

Based on the concept of Time Value of Money. Highly related to the concept of Present Value of Money.

Calculating a future value ($FV$) mathematically is

$$FV=P{V}_n\times (1+r{)}^n$$

Where:

• $PV$: present value
• $r$: required rate of return
• $n$: number of periods

Or using the excel function Excel Function - FV