Calculate Present Value
The current worth of a future sum of money or stream of cash flows given a specified rate of return.
Please fix these errors:
Interpretation:
If you were to receive $#FV# in #TP# time periods (e.g. weeks, months, or years) from now, that $#FV# would be worth only #PV# today. So, if today you were to invest the #PV# at a rate of #IR#%, you would have $#FV# at the end of #TP# time periods.What does this mean to you? Well, if you had a choice between taking an amount
higher than the #PV# today and taking the $#FV# at the end of #TP# time periods,
you should take the money today. By doing so, you would be able to invest the
higher amount at #IR#% for #TP# equal time periods, which would end up being more
than the $#FV#.
OOPS!!!
Your present value is too small for our calculators to figure out. This means that you either need to increase your future value, decrease your interest rate, or shorten your time frame.
Try again.
OOPS!!!
Your present value is too large for our calculators to figure out. This means that you either need to increase your future value, decrease your interest rate, or shorten your time frame.
Try again.
Related Links:
- Understanding the Time Value of Money - Find out how time really is money by learning to calculate present and future value.