Get the Net Present Value of a Project Calculation - Finance in Excel - NPV()

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This tutorial shows you how to get the Net Present Value of a project or business venture in the future using excel. You can do this very easily in excel spreadsheets and this will teach you how to do that using the estimated cash flows of a project. The NPV() function is used for the calculations. This is also a basic discounted cash flows example. This includes discount rate and number of periods in order to use the npv function.
To follow along with the spreadsheet used in the video and also to get free excel macros, tips, and more video tutorials, go to the site:
http://www.TeachMsOffice.com

Uploaded by: ExcelisHell
Tags for this video: excel npv() net present value calculation valuation in how to examples project cash flows dcf discounted

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gfdcfddfddmnbvvv ... ( 3 years ago by vdarius77)

gfdcfddfddmnbvvv vvvvvvvv

excellent training. ... ( 2 years ago by DIPFM2009)

excellent training. I must check out more from these guys.

Great teaching ( 2 years ago by EzE3000)

Great teaching

great tutorial!!! ( 2 years ago by nreynard2000)

great tutorial!!!

I think you have ... ( 1 year ago by svtuition)

I think you have minus from present value of cash inflow
because NPV = PV of cash inflow - PV of cash outflow.
Am I right Sir

Yes but this is ... ( 1 year ago by ExcelisHell)

Yes but this is using the NPV() function in Excel and the numbers that are 'added' such as Period 0 are negative within the spreadsheet so it is the same as subtracting that number. You could actually calculate the NPV by hand in Excel if you wanted to create all of the necessary math formulas but that is just not as efficient as using the NPV() function.

THANK YOUUU!!!! ( 1 year ago by faikumiee)

THANK YOUUU!!!!

what is that real ... ( 1 year ago by TheBatanoni)

what is that real int = nominal int - inflation
it is very simple why u make it complicated !

i would rather go ... ( 1 year ago by sasamuraki)

i would rather go with his formula - in ur case (a common misconception) it only works if the inflation is trivial.. if it is bigger, it will make a huge difference.. when talking thousands or millions, those decimals matter.. :)

@sasamuraki It is ... ( 1 year ago by ExcelisHell)

@sasamuraki It is the difference between academics and the real world.

yeah exactly... ( 1 year ago by sasamuraki)

yeah exactly...

excellent ( 1 year ago by dizzybone2000)

excellent

Thanks dude... ( 1 year ago by reezthegr8)

Thanks dude...

Hi, I wonder how to ... ( 1 year ago by speakingofdevil)

Hi, I wonder how to calculate cash inflow and outflow if I have an initial $2,000,000 for 10 years with 15%?

what shall i do to ... ( 10 months ago by marduktr)

what shall i do to find the discount rate of a project? wacc?

@marduktr That's ... ( 10 months ago by ExcelisHell)

@marduktr That's one way to do it. It really just depends on the type of project or, more often, what someone tells you to use.

@ExcelisHell I'm ... ( 7 months ago by PetiteOzma)

@ExcelisHell I'm working on an assignement right now for capital budgeting and they didn't give me a discount rate just the WACC... the instructions say that the company considers the project equally risky to the company itself so WACC should be the discount rate then?

@PetiteOzma Sounds ... ( 7 months ago by ExcelisHell)

@PetiteOzma Sounds about right to me :)

Array ( 1 week ago by grandestberry)

thank you!