ClarityHow to use this tool
- Enter cash flows starting at period 0, discount rate per period.
- Select Calculate to view the result.
- Check the method and assumptions below before using the result.
The method, explained
NPV = sum of cash flow at period t divided by (1 + rate)ᵗ, starting with period zero. Negative entries represent payments; positive entries represent receipts.
Using cash flows starting at period 0 = -1000, 400, 400, 400, discount rate per period = 10 %, the result is -5.25920361 currency. Change these example inputs to match your task; use the method above to check each step.
What to keep in mind
Cash flows must be equally spaced and the discount rate must match that interval. No automatic tax, inflation or probability adjustment. A scenario calculation using your inputs, before unlisted fees or taxes. It is not a quoted product rate or personalized recommendation.
Common questions
Which inputs does this calculation need?
Discount a sequence of equally spaced cash flows, including the initial investment, to a present-value total. Enter cash flows starting at period 0, discount rate per period in %. The filled example is editable and is not a saved personal record.
How should I interpret the result?
Cash flows must be equally spaced and the discount rate must match that interval. No automatic tax, inflation or probability adjustment. A scenario calculation using your inputs, before unlisted fees or taxes. It is not a quoted product rate or personalized recommendation.
Methodology maintained by ClarityKit. How these tools are built and checked.