FV of a one-off deposit
Put money in once and leave it: pmt is 0, pv is the deposit.
Task:
You deposit 10,000 once in an account paying 3% a year, compounded yearly, and add nothing more. In B5 give what it will be worth after 5 years, as a positive figure.
Interactive Spreadsheet
Hints
+5 XPno-hints bonusSolve it on your own to keep the bonus. Each hint gets one step closer to the formula.
Variations of FV
0/3The same formula in the other shapes it takes at work.
- FV Function
Calculate the future value of an investment using the FV function.
CoreAdvanced - FV of a one-off deposit
Put money in once and leave it: pmt is 0, pv is the deposit.
Advanced - FV with payments at the start of each month
The type argument: paying in a month earlier earns a month more interest.
Advanced
The data in this exercise
This is the grid you start with. Cell references in the task — B6, C2 — point at the row numbers and column letters below.
| A | B | |
|---|---|---|
| 1 | Annual rate | 0.03 |
| 2 | Years | 5 |
| 3 | Deposit | 10000 |
| 4 | ||
| 5 | Worth after |
What this exercise teachesMay contain the answer
FV with a pv and no payments is plain compound growth — the same answer as B3*(1+B1)^B2, but in a form that extends naturally the day you start adding monthly payments as well.