The process for converting present values into future values is called.

Compounding.

Explanation:

Compounding is typically an accounting process used for the conversion of present values of an asset, investment or money into future values.

Generally, a compound interest is calculated based on the interest rate on a loan, principal and the accumulated interest gained from previous periods. This interests is compounded for a certain number of times such as daily, weekly, quarterly or annually.

Mathematically, to find the future value from the present value of an asset or investment, we would use the compound interest formula;

Where;

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