Financial formula for Discounting Cashflows
 

Hi,

I have a column of cashflows for 20 years in cells C1:C21

I want the sum of the discounted cash flows, at a discount rate of 8%.

So... the cashflow in cell C1 is C1/1.08 and C2 is C2/1.08*1.08 ,...etc.

And I need the sum of these... so C1/1.08 + C2/1.08*1.08 + ...+C21/1.08^20

Is there a "Discount formula" that can do this calculation neatly in a
single cell?

Thanks a lot for your help

Jeff -

Try =NPV(0.08,C1:C21).

But, the range C1:C21 contains 21 cells, not 20.

- Mike

www.mikemiddleton.com

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"Jeff" wrote in message
...
Hi,
I have a column of cashflows for 20 years in cells C1:C21
I want the sum of the discounted cash flows, at a discount rate of 8%.
So... the cashflow in cell C1 is C1/1.08 and C2 is C2/1.08*1.08 ,...etc.
And I need the sum of these... so C1/1.08 + C2/1.08*1.08 + ...+C21/1.08^20
Is there a "Discount formula" that can do this calculation neatly in a
single cell?
Thanks a lot for your help

=npv(0.08,c1:c21)


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