Rate
The interest rate per period.
NumberOfPeriods
The total number of payment periods in the term.
Payment
The payment made each period. If set to 0, the value of the presentValue parameter is used instead.
PresentValue
The lump sum payment at the start of the term. (With a loan, this would normally be the sum borrowed. With a bond, this would generally be 0.) If omitted, it is assumed to be 0.
Type
0 If payments are made at the end of each period and 1 if payments are made at the start of each period (including a payment at the start of the term). If omitted, it is assumed to be 0.
Returns
The future value.
Returns the future value of an investment consisting of periodic payments and/or an initial lump sum, at a constant interest rate.
Examples
Returns roughly $2,708.16. Suppose you deposit $500 at the end of each year for five years at 4% annual interest. The account will hold roughly $2,708.16 at the end of the term. The payment is negative because you pay that sum. The future value is positive because you receive it.
Returns roughly $-4,112.79. Consider a loan of $15,000 at 6%, where you repay $2,000 at the end of each year for eight years. The present value is positive because you receive the loan. The payment is negative because you pay it. The negative future value indicates the remaining balance you still owe after eight years.