NPV discount rate series of cash flow Step 1 Enter the discount rate in a cell. The Excel net present value formula. Steps to Calculate NPV in Excel There are two methods to calculate the NPV in the Excel sheet.
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As the initial investment of 5000 is an outgoing payment this is supplied to the function as a negative value. The NPV formula requires 2 arguments. If playback doesnt begin shortly try restarting your device. The formula for NPV varies depending on the number and consistency of future cash flows.