,Pv(Rate, PeriodCount, PeriodPayment, FutureValue, Type)
Rate. Interest rate per period.
PeriodCount. The total number of payment periods in an investment.
PeriodPayment. A sum paid every period, which does not change over the time of paying the rent. Typically, the payments consist of primary and interest payments but do not include taxes and charges.
FutureValue. The required value of future cost or the remainder after the last payment.
Type. Selecting payment time. The parameter may take the following values:
0. Payment at the end of the period.
1. Payment at the beginning of the period.
NOTE. To determine the parameter, specify either the parameter value or the cell address where it is located.
It returns the current value of an investment.
The modified (current) value is the total amount which presently equals to the series of future payments. For example, when you borrow money, the loan amount is the present value for a creditor.
The formula that calculates the Pv function looks as follows:
If the rate is not 0, then:
,
where:
Pc. The total number of payment periods in an annuity, PeriodCount.
Pp. The payment made each period that cannot change over the life of the investment, PeriodPayment.
Fv. The required value of the future cost or a cash balance after the last payment is made, FutureValue.
If the rate is 0, then:
.
| Formula | Result | Description |
| =Pv(0.15, 12, 122, 12000, 1) | -3003,40 | The current investment value based on the following conditions:
|
| =Pv(0.15, 12, A0, B0, 1) | -345,97 | The current investment value based on the following conditions:
|
See also:
Function Wizard │ Financial Functions │ Npv │ Xnpv