future value

future value definition - finance
The amount that an investment will be worth at a future date if it is invested at a compounded interest rate. Future value is calculated using a future value table that gives a factor based on interest rate and the time period for which the investment will be held. The principal is then multiplied by the factor to arrive at the future value.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

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