# ## Calculate future value when CAGR is known in Excel

Learn how to use CAGR to determine the future value of an asset. Future value is the future asset value derived from the assumed growth rate. If you know the CAGR, you can easily determine the future value of an asset. You can predict how much your current investment will increase the value of your asset, how much your business will grow in the future.

### Formula for calculating future value

FV=PV*(CAGR+1)^n

#### FV function

=FV(rate,nper,pmt,[pv],[type])

### Use basic formula

To calculate future values using FV=PV*(CAGR+1)^n, have the starting value, CAGR and Number of Years ready.

Total Time: 1 minute

#### Enter a basic formula

Enter =B1*(B2+1)^B3 in any cell. Set the starting value to "PV" and the number of years of operation to "n".

#### Future value is calculated

Press Ctrl +Enter to calculate the future value.

#### Display the accounting number format

Press Alt + H + A + N to open the Accounting Number Format. Use (Down Arrow key) to select \$ English.

#### Currency unit is set

Press Enter to set the currency unit.

### Use FV function

To calculate future values using =FV(rate,nper,pmt,[pv],[type]), have the starting value, CAGR and Number of Years ready.

Enter =FV(B2,B3,,-B1,0) in any cell.

Set CAGR to “rate”, Number of Years to “nper”, and the starting value with a minus sign to “pv”. Leave “pmt” empty.

“type” is the argument that sets the payment due date, where 0 represents the end of the period and 1 represents the beginning of the period. In this case, enter 0.

Press Ctrl + Enter to calculate the future value.

Press Alt + H + A + N to open the Accounting Number Format. Use (Down Arrow key) to select \$ English.

Press Enter to set the currency unit.