Practice Future Value (FV) - 24.4.1 | 24. Time Value of Money | Management 1 (Organizational Behaviour/Finance & Accounting)
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Future Value (FV)

24.4.1 - Future Value (FV)

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Practice Questions

Test your understanding with targeted questions

Question 1 Easy

What is the Future Value of ₹5,000 at an interest rate of 6% after 1 year?

💡 Hint: Use the FV formula: FV = PV × (1 + r).

Question 2 Easy

Calculate the FV of ₹2,000 at 8% after 2 years.

💡 Hint: Remember to use the power for the number of years.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What does Future Value (FV) represent?

The current worth of money
The potential worth of money in the future
The sum of past investments

💡 Hint: Think about how money grows over time.

Question 2

True or False: The formula for FV only applies to simple interest calculations.

True
False

💡 Hint: Consider how interest accumulates.

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Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

Calculate the Future Value of ₹30,000 invested at 8% compounded annually for 6 years.

💡 Hint: This is a compounded interest problem, remember to use the exponent.

Challenge 2 Hard

If ₹10,000 is invested at 6% annual interest compounded monthly for 5 years, what is the FV?

💡 Hint: Adjust the interest rate accordingly as it compounds monthly.

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