Generalizing the Compouding Method Generalizing the method requires some definitions.Let i be the interest rate n be the life of the lump sum investment(Ex.Number of years) PV be the present value FV be the future value FV=PV*(1+i)” THE COURSE OF FINANCE 2017 SPRING STTU 10Generalizing the Compouding Method  Generalizing the method requires some definitions. Let  i be the interest rate  n be the life of the lump sum investment(Ex. Number of years)  PV be the present value  FV be the future value THE COURSE OF FINANCE 2017 SPRING SJTU 10 n FV  PV * (1  i)