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What is present value vs future value?

Updated: 9/17/2019
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Q: What is present value vs future value?
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Is the present value factor the exponent of the future value factor?

The present value factor is the exponent of the future value factor. this is the relationship between Present Value and Future Value.


How is the future value related to the present value of a single sum?

The present value is the reciprocal of the future value.


How do you compute present and future value of a cash flow stream?

Future Value = Value (1 + t)^n Present Value = Future Value / (1+t)^-n


How do you define the value of value?

I need a answer how do you know when to use future value or present value and future value of a annuity and present value of annuity Please help


What effect do interest rates have on the calculation of future and present value How does the length of time affect future and present value How do these two factors correlate?

What effect do interest rates have on the calculation of future and present value, how does the length of time affect future and present value, how do these two factors correlate.


How do you find future value of share if you have present of it?

F = Future value P = Present Value i = Intrest Rate n = no. of years Therefore, the formula for future value of present amount :- F= P (1+i)n


Present value of a future amount?

the current dollar value of a future amount


What is the difference between present value interest factors versus future value interest factor?

The Present Value Interest Factor PVIF is used to find the present value of future payments, by discounting them at some specific rate. It decreases the amount. It is always less than oneBut, the Future Value Interest Factor FVIF is used to find the future value of present amounts. It increases the present amount. It is always greater than one.


Present Value Calculator?

Present Value Calculator Use this calculator to determine the present value of a stream of deposits plus a known final future value.


The present value of future cash flows has what relationship to interest rate?

The present value of future cash flows is inversely related to the interest rate.


What is the future value of a growing annuity with a present value?

The present value is what it is worth today minus any surrender charges. The future value is what it will be worth in the future at a given interest rate and again minus any surrender charges if applicable.


What is the current value of a future sum of money called?

present value