| InvestHub.com's Finance Dictionary and Glossary of Investment Terms Future Value - FV Definition 1.
The value of an asset or cash at a specified date in the future that is equivalent in value to a specified sum today. There are two ways to calculate FV:1) For an asset with simple annual interest: = Original Investment x (1+(interest rate*number of years))2) For an asset with interest compounded annually:= Original Investment x ((1+interest rate)^number of years) |
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