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NPV Calculator

Determine the present value of future cash flows.

Live Calculation

Net Present Value

-11157.02

$

Live Step-by-Step Calculation

# Given Values:
Initial Investment: 50000
Discount Rate: 10
Year 1 Cash Flow: 20000
Year 2 Cash Flow: 25000
# Formula:
Net Present Value = (cf1 / (1 + rate/100)^1) + (cf2 / (1 + rate/100)^2) - initial
# Substitution:
Net Present Value = (cf1 / (1 + 10/100)^1) + (cf2 / (1 + 10/100)^2) - 50000
Final Answer: -11,157.0248 $

How it works

NPV=CFt(1+r)tI0NPV = \sum \frac{CF_t}{(1+r)^t} - I_0

Biological Formula Standard

How it Works

NPV=CFt(1+r)tI0NPV = \sum \frac{CF_t}{(1+r)^t} - I_0

AI Insight

Did you know? Consistent tracking of these metrics can help identify trends over time. Try adjusting the inputs to see how sensitive the result is to each variable.

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