This article was previously published under Q30970
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The FV function in Microsoft Excel returns the future value of aninvestment based on periodic, constant payments and a constant interestrate.
The FV function can also be used to calculate the future value of a singlelump sum payment. To do this, enter the lump sum payment amount as thepresent value (PV) and enter the payment amount as zero. Entering a zero asthe payment amount tells Excel there is no constant stream of payments.
The FV function uses the following syntax and arguments
Rate is the interest rate per period.
Nper is the total number of payment periods in an annuity.
Pmt is the payment made each period; it cannot change over the life of the annuity. If pmt is omitted, you must include the pv argument.
Pv is the present value, or the lump-sum amount that a series of future payments is worth right now. If pv is omitted, it is assumed to be 0 (zero), and you must include the pmt argument.
Type is the number 0 or 1 and indicates when payments are due. If type is omitted, it is assumed to be 0.
For example, suppose that you will invest $1,000 today at an interest rateof 12 percent, and you would like to know what the investment will be worthat the end of five years.
The FV formula is entered as follows:
For more information about the future value function, click Microsoft Excel Help on the Help menu, type fv in the Office Assistant or the Answer Wizard, and then click Search to view the topics returned.
Microsoft Excel Functions and Macros, versions 2.x, page 53
Microsoft Excel Function Reference, version 3.0, page 98