Present Value

Present value, abbreviated as PV, is the time value of money and the value of a future cash flow.

 

Present value Formula

\(\large{ PV =   \frac{ FV }{  \left(1 \;+\; i \right)^n  }   }\)

Symbol

\(\large{ PV }\) = present value

\(\large{ FV }\) = future value

\(\large{ i }\) = intrest rate

\(\large{ n }\) = number of period