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| − | <div style="font-size:30px">'''NPV(r,n1,n2,...)'''</div><br/> | + | <div style="font-size:30px">'''NPV()'''</div><br/> |
| − | *<math>r </math> is the discount rate for the period. | + | *First parameter is the discount rate for the period. |
| − | *<math> n1,n2,n3,... </math> indicates the payments and income. | + | *From the second parameter indicates the payments and income. |
| − | | + | **NPV(), returns the net present value of an investment based on a series of periodic cash flows and a discount rate. |
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| | ==Description== | | ==Description== |
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| | *Net present value is the difference between the present value of cash inflows and the present value of cash outflows. | | *Net present value is the difference between the present value of cash inflows and the present value of cash outflows. |
| | *The <math>NPV</math> analysis is sensitive to the reliability of future cash inflows that an investment or project will yield. | | *The <math>NPV</math> analysis is sensitive to the reliability of future cash inflows that an investment or project will yield. |
| − | *In <math>NPV(r,n1,n2,...)</math>, <math>r</math> is the discount rate for one period. | + | *In <math>NPV()</math>, first parameter is the discount rate for one period. |
| − | *<math>n1,n2,n3,...</math>,are representing the payments and income. | + | *From the second parameter are representing the payments and income. |
| − | *<math>n1,n2,n3,...</math> are equally spaced in time and occur at the end of the period. | + | *Payments are equally spaced in time and occur at the end of the period. |
| | *Arguments can be numbers ,empty cells,logical values or text representations of numbers. | | *Arguments can be numbers ,empty cells,logical values or text representations of numbers. |
| | *But error values or text that cannot be translated in to numbers. | | *But error values or text that cannot be translated in to numbers. |
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| | ==Related Videos== | | ==Related Videos== |
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| − | {{#ev:youtube|jncBvkWYnOg|280|center|NPV Function}} | + | {{#ev:youtube|v=yelsD-wyILI|280|center|NPV Function}} |
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| | ==See Also== | | ==See Also== |