NPV
Calculates the net present value of a series of cash flows at a given discount rate
Syntax
NPV(rate, value1, [value_n])
Arguments
| Argument |
Description |
Required |
rate |
The discount rate per period |
Required |
value1 |
The first cash flow value or array of cash flows |
Required |
value_n |
Additional cash flow values |
Optional |
Examples
NPV of individual cash flows
=NPV(0.1, -1000, 500, 600)
Result ⇒
-45.0789
NPV of cash flows in a range
=NPV(0.08, A1:A4)
Result ⇒
10957.19
Investment analysis with initial cost and returns
=NPV(0.01, A1:A4)
Result ⇒
3651.0430
Related Functions
Other Financial functions:
- CUMIPMT - Returns the cumulative interest paid between start_period and end_period
- CUMPRINC - Returns the cumulative principal paid on a loan between start_period and end_period
- DB - Returns the depreciation of an asset for a specified period using the fixed-declining balance method
- DISC - Returns the discount rate for a security
- EFFECT - Returns the effective annual interest rate
- FV - Returns the future value of an investment.
- FVSCHEDULE - Returns the future value of an initial principal after applying a series of compound interest rates
- IPMT - Returns the interest payment for a given period for an investment based on periodic, constant payments and a constant interest rate.
- IRR - Returns the internal rate of return for a series of cash flows
- NOMINAL - Returns the annual nominal interest rate
- NPER - Returns the number of periods for an investment
- PMT - Calculates the payment for a loan based on constant payments and a constant interest rate.
- PPMT - Returns the payment on the principal for a given period for an investment based on periodic, constant payments and a constant interest rate.
- PV - Returns the present value of an investment.
- RATE - Returns the interest rate per period of a loan or investment.
- SLN - Returns the straight-line depreciation of an asset for one period
- XIRR - Returns the internal rate of return for a schedule of cash flows that is not necessarily periodic
- XNPV - Returns the net present value for a schedule of cash flows that is not necessarily periodic
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