Published On:Wednesday, 11 January 2012
Posted by Muhammad Atif Saeed
Terminal Value - TV
The value of an investment at the end of a period, taking into account a specified rate of interest.
explains 'Terminal Value - TV'
The formula to calculate terminal is the same as that for compound interest:
Where:
TV = the total amount
P = the principal amount
r = interest rate
t = period of time
Where:
TV = the total amount
P = the principal amount
r = interest rate
t = period of time