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PV and FV Formulas Explained

This document discusses the future and present value of single amounts, annuities, and annuities due. It provides an example calculation showing the future value of $2,000 invested at 10.25%, 5%, and 0% interest rates compounded annually over a single period, totaling $6,305. It also introduces the concepts of present value of single amounts, annuities, and annuities due.

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Kimberly Banuelos
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272 views7 pages

PV and FV Formulas Explained

This document discusses the future and present value of single amounts, annuities, and annuities due. It provides an example calculation showing the future value of $2,000 invested at 10.25%, 5%, and 0% interest rates compounded annually over a single period, totaling $6,305. It also introduces the concepts of present value of single amounts, annuities, and annuities due.

Uploaded by

Kimberly Banuelos
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Future Value of 1

Future Value of Annuity

Future Value of Annuity Due


FV of 1 FV
2,000.00 1.10250 2,205.00
2,000.00 1.05000 2,100.00
2,000.00 1.00000 2,000.00
6,305.00
Present Value of 1

Present Value of Annuity

Present Value of Annuity Due

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