The FUTURE VALUE financial function calculates the final amount including interest.
You can use this function to calculate savings, loans, or investment values. For example, if you know the rate, term, payment, present value and type of a savings scheme or loan, you can use the FUTURE VALUE function to determine the final amount after interest.
| Function | FUTURE VALUE |
| Usage model | FUTURE VALUE ( rate:NUM, term:NUM, payment:NUM, present value:NUM, type:NUM ) |
| Parameters | This function requires you to replace three of five parameters (two are optional): |
|
rate: NUM |
The function uses this value as the interest rate per payment period. |
|
term: NUM |
The function uses this value as the total number of payment periods. |
|
payment: NUM |
The function uses this value as the paid amount in each payment period. |
|
present value: NUM |
(Optional) This represents the current value of the future amount; the default is zero. |
|
type: NUM |
(Optional) This value can be entered as a 0 or a 1, 0 meaning payments are due at the end of a payment period and 1 meaning payments are due at the beginning of a payment period. The default is zero. |
| Result | A number value. |
For example, if you have an annual rate of 7.5% over 3 years and you pay $100 a month then you can work out the future value by creating the following variables and using the FUTURE VALUE expression:
SET RateNUM TO 0.00625 //(0.075/12 to find the monthly rate)This produces the result of the Future Value being 4,023.1381682
See Also:
RATE
TERM
PAYMENT
PRESENT VALUE
After you download the example template, you can import the template to any workspace to see this example code in action.