PV

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4D v19

PV


PV ( i , n , m {, f} )

Parameter	Type	Description
i	Number	The interest rate for a period
n	Number	The number of periods
m	Number	For compound interest: the monthly payment at the end of each period (use a negative value). For single interest: pass an empty parameter (see example)
f	Number	For single interest rate: the final value at the end of a period (use a negative value)

Description

The PV function calculates:

the current value of a sum using the compound interest, or
the current value of a sum using single interest rates.

To calculate the current value of a sum using the compound interest, pass the m parameter and omit the f parameter. Here is the formula for this calculation:

To calculate the current value of a sum using single interest rates, pass the f parameter and pass an empty parameter (,,) for the m placeholder. Here is the formula for this calculation:

Example 1

Compound interest: you have a loan with an 12% annual interest rate (thus 1% per month) over 5 months with a monthly payment of €1,000.

PV(1%,5,-1000) //4853,4312393251

Example 2

Single interest rates: you have a loan with an 12% annual interest rate (thus 1% per month) over 5 months with a monthly payment of €1,000.

Note: Pay attention to the double ",," inside the syntax.

PV(1%,5,,-5*1000) //4757,328438033744