PRESENTⅤ ALUE AND FUTUREⅤALUE ◆ PRESENT VALUE(PV Let Fy be a amount of money to be received n years from now? What is Fv worth today? Py=FV/(+i ◆ FUTURE VALUE(F What will an investment Py made today be worth n time periods in the future? FV=PY(+ in 10/1599 Engineering economics 110/15/99 Engineering Economics 1 10 PRESENT VALUE AND FUTURE VALUE t PRESENT VALUE (PV) Let FV be a amount of money to be received N years from now? What is FV worth today? PV = FV/(1 + i)N t FUTURE VALUE (FV) What will an investment PV made today be worth N Time periods in the future? FV = PV (1 + i)N