Present and Future Value
Table of Contents
For a sum of money \(P\) invested at a compounding interest rate \(i\) for \(n\) periods, the future value \(F\) is given by:
$$F = P(1 + i)^n$$
Where
- \(P\) is the present value,
- \(i\) is the interest rate, and
- \(n\) is the number of periods