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NPV Function

The NPV function is one of the financial functions. It is used to calculate the net present value of an investment based on a specified discount rate.

The NPV function syntax is:

NPV(rate, argument-list)

where

rate is the discount rate.

argument-list is the list of the future payments.

The numeric values can be entered manually or included into the cells you make reference to.

To apply the NPV function,

  1. select the cell where you wish to display the result,
  2. click the Insert Function Insert Function icon icon situated at the top toolbar,
    or right-click within a selected cell and select the Insert Function option from the menu,
    or click the Function icon icon situated at the formula bar,
  3. select the Financial function group from the list,
  4. click the NPV function,
  5. enter the required arguments separating them by commas,
  6. press the Enter button.

The result will be displayed in the selected cell.

NPV Function

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