Future value Calculator
Written by:Abraham A.Finance.ThinkAndDone.com provides you online and windows calculators to calculate future value FV of a lump-sum given the interest rate per period and number of periods. Future value represents the compounded value of a lump-sum; compounded interest is earned not only on principal but also on interest earned in previous periods. This is unlike the simple interest that only includes interest on the principal amount. Interest may be compouded either discretely or it may be compounded continuously, the future value calculator considers both these options and the results will show that future value is higher when interest is compounded continuously whereas future value is lower when interest is compounded on discrete terms. The online future value calculator also permits you to find interest rate i when FV and number of periods n are given, and finds number of periods n when FV and interest rate i are given.
Future value Calculator
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type in the authorization code in the box located below:
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Discrete Compounding |
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Continuous Compounding |
Instructions
To use this online calculator to calculate future value FV of a lump-sum, you need to type in the lump-sum amount, the interest rate per period i and number of periods n.
- Assuming amount of money equals $500 interest rate is 4.50 percent for 15 years
- You have to type in 500 for amount, 4.50 for interest rate and 15 for years
To use this online calculator to calculate interest rate, you need to type in future value FV , the initial amount and number of periods.
- Assuming future value of $500 is 967.64 for 15 years
- You have to type in 500 for amount, 967.64 for FV and 15 for years
To use this online calculator to calculate number of periods n, you need to type in initial amount, it's future value FV and interest rate n.
- Assuming future value of $500 is 983.58 at 7 percent rate of interest
- You have to type in 983.58 for FV, 500 for initial amount and 7 for interest rate