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42/3335–8FE Reference Handbook 10.4 · Engineering Economics · F/P
1. Simple Interest2. Single-Payment Compound Amount (F/P)3. Single-Payment Present Worth (P/F)4. Uniform-Series Compound Amount (F/A)5. Sinking-Fund Factor (A/F)6. Capital-Recovery Factor (A/P)7. Uniform-Series Present Worth (P/A)8. Effective Interest Rate9. Arithmetic Gradient Present Worth (P/G)10. Net Present Worth11. Benefit–Cost Ratio12. Straight-Line Depreciation13. Geometric Gradient Present Worth14. Capitalized Cost (Perpetual PW)15. Payback Period16. Break-Even Quantity17. Equivalent Uniform Annual Worth18. Internal Rate of Return vs MARR19. MACRS Depreciation20. Declining-Balance Depreciation21. Inflation and Real Interest22. Expected Value of Alternatives

Handbook formula

Single-Payment Compound Amount (F/P)

A single present sum P grows to F after n periods at compound interest i. The handbook tabulates (F/P, i, n) = (1+i)^n.

Present worth
Future worth
Effective rate per period
Number of compounding periods

Step-by-step solved example

P = $1,000, i = 8%, n = 5. Find F.

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P at t = 0 grows to F at t = n. Handbook (F/P) factor.

  1. 1. Factor

    (1.08)^5 = 1.4693.

  2. 2. Multiply

    F = 1000 × 1.4693 = $1,469.

Answer: F = $1,469

10 practice questions

0/10 correct

1.(F/P, 10%, 2) equals

2.F if P = $500, i = 10%, n = 2

3.Doubling time at 8% compound is nearest

4.(1+i)^n is called the

5.If i = 0, F/P equals

6.P = $2,000, i = 5%, n = 1 → F =

7.Compounding more frequently at the same nominal rate makes F

8.(F/P, 6%, 3) is nearest

9.To find n in F = P(1+i)^n, take

10.F/P and P/F are