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Introduction to Financial Analysis

Part III- The Time Value of Money

10.9: Future and Present Value Factors (Multipliers)

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From Introduction to Financial Analysis by LibreTexts (Kenneth S. Bigel, Touro University), used under the CC BY 4.0 licence. Written for a general audience, not for NEPSE.

Here is another look at a somewhat less abbreviated interest rate table. Assume that we are given $1 of Present- and Future-Values re s pectively. (Fill in the empty column by hand and compare your answers to the factors in the published tables; see the link to Interest Rate Tables below .) Note that, in using tables, “Periods” = n × p.

Future Value Factors Formula: FV = PV (1 + R/p) P n x p

Here are some interest rate tables for you to use:

http://www.retailinvestor.org/pdf/futurevaluetables.pdf

This chapter at LibreTexts (Kenneth S. Bigel, Touro University). Tables and text are reproduced; images, videos and quizzes are not.