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Q: What product will have the most value in 200 years compared to present day?
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What does it mean that a project has a NPV of 165 in 3 years?

NPV is the acronym for net present value. Net present value is a calculation that compares the amount invested today to the present value of the future cash receipts from the investment. In other words, the amount invested is compared to the future cash amounts after they are discounted by a specified rate of return. So what it means is the net present value will be 165 in three years. Please email me at andrew@parkermcqueen.com with any other question.


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F = Future value P = Present Value i = Intrest Rate n = no. of years Therefore, the formula for future value of present amount :- F= P (1+i)n


Difference between present value and net present value?

Present value is the result of discounting future amounts to the present. For example, a cash amount of $10,000 received at the end of 5 years will have a present value of $6,210 if the future amount is discounted at 10% compounded annually.Net present value is the present value of the cash inflows minus the present value of the cash outflows. For example, let's assume that an investment of $5,000 today will result in one cash receipt of $10,000 at the end of 5 years. If the investor requires a 10% annual return compounded annually, the net present value of the investment is $1,210. This is the result of the present value of the cash inflow $6,210 (from above) minus the present value of the $5,000 cash outflow. (Since the $5,000 cash outflow occurred at the present time, its present value is $5,000.)


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What is the present value in excel?

Present value is a financial term and is the result of discounting future amounts to the present. For example, a cash amount of $10,000 received at the end of 5 years will have a present value of $6,209.21 if the future amount is discounted at 10% compounded annually. Excel provides a function called PV for calculating the Present Value. For the example given, it would be as follows: =PV(10%,5,0,-10000) That is 10% over 5 years, with no payments at the end of year with value owed being 10,000.


Where can I find a Present Value Calculator online?

Many websites have a present value calculator, you should be able to find ones that are free and easy to use. You will need to enter in the future value, intrest rate and the number of years.


What is present value of 700000 in five years if current market rate is 3 percent?

425000


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== ==


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