NET_PRESENT_VALUE

Net present value

Description

Calculates an investment's net present value using discount rate and a series of periodic cash flows.

Function signature

NET_PRESENT_VALUE(discountrate: Number, cashflows: Array) => Number

Parameter

Description

Discount rate

The discount rate of the investment over one period.

Cash flows

Future cash flows

Examples

Formula

Return value

NET_PRESENT_VALUE(1, [1, 2, 3, 4, 5])

1.78

NET_PRESENT_VALUE(0.5, [1, 2, 3, 4, 5])

3.89

NET_PRESENT_VALUE(0, [1, 2, 3, 4, 5])

15