Present and Future Value with Continuous Compounding
Future value is the value of an asset at a specific date, assuming a certain interest rate, or more generally, rate of return.
The future value equals the present value times the exponential of the continuous interest rate times the interest periods.
Formula
![Copy to Clipboard QuantityVariable["FV", "Money"] == E^(QuantityVariable["i", "Unitless"]*QuantityVariable["n", "Unitless"])*QuantityVariable["PV", "Money"]](https://www.wolframcloud.com/objects/resourcesystem/marketplacestorage/resources/7ee/7ee7a299-d1bc-4cb6-ba37-2878f1aa98e2/Webpage/FormulaImage.png)
| symbol | description | physical quantity | 
|---|---|---|
| FV | future value | "Money" | 
| i | continuous interest rate | "Unitless" | 
| n | interest periods | "Unitless" | 
| PV | present value | "Money" | 
Forms
Examples
Get the resource:
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| Out[1]= | ![]()  | 
Get the formula:
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Use some values:
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![FormulaData[
 ResourceObject[
  "Present and Future Value with Continuous Compounding"], \
{QuantityVariable["n","Unitless"] -> 5, 
  QuantityVariable["i","Unitless"] -> Quantity[6.`, "Percent"]}]](images/7ee/7ee7a299-d1bc-4cb6-ba37-2878f1aa98e2-io-3-i.en.gif)