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What is the future value in 3 years of the present value of 102.40?
Wiki User
∙ 9y ago
The answer depends on your assumption about interest rates over the period. Without that information it is ot possible to give a more useful answer.
Wiki User
∙ 9y ago
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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
Difference between present value and net present value?
Present value is the result of discounting future amounts to the present. For example, a cash amount of $10,000 received at the end of 5 years will have a present value of $6,210 if the future amount is discounted at 10% compounded annually.Net present value is the present value of the cash inflows minus the present value of the cash outflows. For example, let's assume that an investment of $5,000 today will result in one cash receipt of $10,000 at the end of 5 years. If the investor requires a 10% annual return compounded annually, the net present value of the investment is $1,210. This is the result of the present value of the cash inflow $6,210 (from above) minus the present value of the $5,000 cash outflow. (Since the $5,000 cash outflow occurred at the present time, its present value is $5,000.)
What is the present value in excel?
Present value is a financial term and is the result of discounting future amounts to the present. For example, a cash amount of $10,000 received at the end of 5 years will have a present value of $6,209.21 if the future amount is discounted at 10% compounded annually. Excel provides a function called PV for calculating the Present Value. For the example given, it would be as follows: =PV(10%,5,0,-10000) That is 10% over 5 years, with no payments at the end of year with value owed being 10,000.
What is the present value of an investment if its future value is 10000 for 6 years?
$7,903.50 if the intrest rate is 4% (A high bank intrest rate percentage)
Where can I find a Present Value Calculator online?
Many websites have a present value calculator, you should be able to find ones that are free and easy to use. You will need to enter in the future value, intrest rate and the number of years.
Jean will receive 8500 per year for 15 years if a 7 percent interest rate is applied what is the current value of the future payments?
If based on the present value of annuities Taking a factor of 9.1 Present value of the 15 years annuities is approx $76,506
What does it mean that a project has a NPV of 165 in 3 years?
NPV is the acronym for net present value. Net present value is a calculation that compares the amount invested today to the present value of the future cash receipts from the investment. In other words, the amount invested is compared to the future cash amounts after they are discounted by a specified rate of return. So what it means is the net present value will be 165 in three years. Please email me at andrew@parkermcqueen.com with any other question.
Concept of time value of money?
Time Value of Money is the value of money taking into account the effects of interest. For Example 100 Currency Units in the future (Future Value) at 5% interest Results in a Present Value Factor of 1/1.05= 0.95238 (After 1 Year) 0.95238/1.05= 0.90703 (After 2 Years) 0.90703/1.05= 0.86384 (After 3 Years) And so on.... Thus in order to get 100 Cu in the future you must invest 1 year = 95.24 Cu (Present Value) 2 years= 90.70 Cu (PV) 3 years= 86.38 Cu (PV) And so on...
What is the relationship between present and future value?
The relationship is that present value is the current value of future cash flows discounted at the appropriate discount rate. Future values are the amount a present value investment is worth after one or more periods. We learn everything we can in the present so we have some of the answers for the future and what we don't know we ask the pros about. The difference between the two is contributed by time. The value of something (an asset) may typically increase over a period of time. $100 that you give me today is not the same as $100 you give a year later. There is an interest (or return) that accrues when you pay me $100 a year later. The future value after n years of an amount P where R is the rate of interest (in percentage) is calculated as P(1+R/100)**n : using compound interest. If R =50 (that is 50% rate of return, I know it is high) and n = 2 years, the future value of P is P*1.5*1.5=2.25P where is today's value. The Present value can be calculated from the future value as P = F/( (1+R/100)**n ) It is necessary to measure the value of an amount that is allowed to grow at a given interest over a period. This is how the future value is determined.
1000 is expected to be received 10 years from now The present value of this 1000 future cash flow is what?
It depends on what discount rate you're using.
What is the meaning of present value?
Present Value means the current value of future cash flows discounted at the appropriate discount rate. Say I gave you a document promising to give the bearer $100,000 on a particular date. If the date was tomorrow, you could sell the document today for close to $100,000. If the date was 100 years from now, the document is close to worthless. On the settlement date, it's worth $100,000. The "present value" is the value right now of a promise to pay in the future. Usually you calculate the present value based on the period of time and an interest rate, also known as the discount rate.
What rate of interest compounded annually is required to double an investment in 16 years?
Future Value = (Present Value)*(1 + i)^n {i is interest rate per compounding period, and n is the number of compounding periods} Memorize this.So if you want to double, then (Future Value)/(Present Value) = 2, and n = 16.2 = (1 + i)^16 --> 2^(1/16) = 1 + i --> i = 2^(1/16) - 1 = 0.044274 = 4.4274 %
