Future Value of $1

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The Future Value of $1 is amount to which $1 grows at compound interest for a given number of years at a specified interest rate.  See column 1 of the compound interest tables for the factors.


To calculate the future value of a lump sum, multiply the amount of the lump sum by the factor from the appropriate compound interest table.




An appraiser has saved $10,000.  How much will he have in 10 years if a reasonable return is 7% compounded monthly?


1.Use the monthly 7% compound interest table - FV of $1 column
2.Go to the 10 year line - the factor is 2.009661
3.$10,000 x 2.009661 = $20,097


Related Topics


Time Value of Money

Future Value of $1

Future Value of an Annuity of $1 per period

Sinking Fund

Present Value of $1

Present Value of an Annuity of $1 per period

Amount to Amortize $1

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