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Present value of a single cash flow (annual compounding of interest) formula

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 Description of the Present value of a single cash flow (annual compounding of interest) formula

Formula for the calculation of the present value of a single cash flow with annual compounding of interest.

  Formula

\[ PV = FV_{N}\left (1+i \right )^{-N} \ \]

 Symbols

\(FV\ \)       
Future value
\(i\ \)       
Annual interest rate
\(N\ \)       
Number of years