Calculates the present value of a loan or an investment based on a constant interest rate.
구문
PV(rate, nper, pmt, [fv], [type])인수
rate필수
The interest rate per period.
nper필수
The total number of payment periods in an annuity.
pmt필수
The payment made each period; it cannot change over the life of the annuity.
fv선택
The future value or a cash balance you want to attain after the last payment is made.
type선택
The number 0 or 1 and indicates when payments are due (0 = end of period, 1 = beginning of period).
The PV function determines the current worth of a series of future payments. It is commonly used to evaluate the value of an annuity or to determine how much a loan is worth today given future repayment terms.
=PV(0.05/12, 12*5, 200)→-10328.01Calculates the present value of a 5-year loan with a 5% annual interest rate and $200 monthly payments.
Identify your variables
Ensure your interest rate and number of periods align (e.g., if payments are monthly, divide annual rate by 12 and multiply years by 12).
Enter the formula
Input the PV function into a cell, ensuring that outgoing payments are represented as negative numbers.
Excel follows cash flow conventions; since payments are money leaving your pocket, they are represented as negative values.