Description Returns the net present value of an investment based on a series of periodic payments and a discount rate.
Syntax NPV ( discount_rate, value_list )
| Argument | Description |
|---|---|
| discount_rate | The rate of discount for one period. |
| value_list | A list of as many as 29 arguments or a reference to a range that contains values that represent payments and income. During calculation, NPV uses the order in which the values appear to determine the order of cash flow.Numbers, empty cells, and text representations of numbers are included in the calculation. Errors and text that cannot be translated into numbers are ignored. If value_list is a range reference, only numeric data in the range is included in the calculation. Other types of data in the range, such as empty cells, logical values, text, and error values, are ignored. |
Remarks The time span NPV uses for calculation begins one period before the first cash flow date and ends when the last cash flow payment is made. This function is based on future cash flows. When your first cash flow occurs at the beginning of the first period, the first value must be added to the NPV result, not supplied as a value in value_list.
Example This function returns 811.57:
