Net Present Values
The value today of anticipated future incomes and expenditures. The formula is shown below, where is the cash flow in period i and r is the discount rate.
CF1 + CF2 + ……..CFn NPVo = (l + r) (l + r)2 (l + r)n
The value today of anticipated future incomes and expenditures. The formula is shown below, where is the cash flow in period i and r is the discount rate.
CF1 + CF2 + ……..CFn NPVo = (l + r) (l + r)2 (l + r)n