fvQuarterlyCompSingleCF {tvmComp}

Computing Future Value of a Single Cash Flow for Quarterly Compounding Frequency.

Description

Computing Future Value of a Single Cash Flow for Quarterly Compounding Frequency.

Usage

fvQuarterlyCompSingleCF(r, n, pv)

Arguments

r

A number.

n

A number.

pv

A number.

Details

According to Brooks,R. (2018),Future Value is the value of an asset at a specific point in time in the future that is equivalent in value to a specific amount today. So there exists a direct relationship between the Future Value of an asset and the asset’s Present Value, growth rate and time to the future point. Future values grow faster due to the fact that interest also keeps on earning interest, a phenomenon called Compounding of Interest. The method fvQuarterlyCompSingleCF() is developed to compute Future Value of a Single Cash Flow for Quarterly Compounding Frequency.The method gives Future Value when values are passed to its three arguments. Here r is annual rate, n is number of years and pv is Present Value.

Value

Input values to three arguments r , n and pv.

Author(s)

MaheshP Kumar, [e-mail]

References

Brooks,R. (2018). Financial Management (4th Edition). Pearson Education (US). ISBN 9780134730417, https://bookshelf.vitalsource.com/books/9780134731070.

Examples

fvQuarterlyCompSingleCF(0.08,10,2000)
fvQuarterlyCompSingleCF(0.08,10,-2000)