Npv Formula For Net Present Value Excel Formula
One way to calculate Net Present Value in Excel is to use NPV to get the present value of all expected cash flows, then subtract the initial investment. This is the approach taken in the example shown, where the formula in F6 is: The NPV function returns 50962.91. The initial investment (-50,000, recorded as a negative value because it is an outflow) is then added, and the final result is 962....