Hey founder๐ Ever wondered how much your money can grow over time? Let me break down the concept of Future Value (FV) Whatโs FV? Itโs the value of money at a future date, considering interest or growth over time. Think of it as how โน1 today can turn into more tomorrow, thanks to compounding! Example: Imagine you invest โน1 lakh at an annual interest rate of 10% for 3 years. Hereโs how we calculate its FV: - Year 1 = โน1L ร (1+0.10)^1 = โน1.10L - Year 2 = โน1L ร (1+0.10)^2 = โน1.21L - Year 3 = โน1L ร (1+0.10)^3 = โน1.33L **Future Value (FV)** = โน1.33 lakh ๐ธ
Download the medial app to read full posts, comements and news.