NPV Calculator – Calculate Net Present Value

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NPV Calculator

Calculate the net present value of an investment or project using an initial investment, discount rate and a series of future cash flows.

Enter one cash flow per period, separated by commas. The first value is Year 1, the second is Year 2, and so on.
Net Present Value0.00
Present Value of Future Cash Flows0.00
Initial Investment0.00
Periods0
Decision—

How to Use the NPV Calculator

Enter the discount rate and projected cash flows to calculate net present value.

Practical Example

If future cash inflows discounted to today total USD 12,000 and the initial investment is USD 10,000, NPV is USD 2,000.

Factors That Affect the Result

The discount rate, timing of cash flows, forecast accuracy, terminal assumptions and initial investment can materially change NPV.

Frequently Asked Questions

What does positive NPV mean?

Under the assumptions used, discounted inflows exceed discounted outflows.

Can NPV be negative?

Yes.

Does NPV depend on the discount rate?

Yes, strongly.

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