Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1   Report Post  
JP SIngh
 
Posts: n/a
Default Using NPV Monthly

I am not an accountant hence my language maynot sound very "fianacial" but i
do have a question

I understand that NPV funciton in excel calculates the results annually or
for 12 months.

How can get the NPV value for each month?

Does that make sense?

Thanks


  #2   Report Post  
Fred Smith
 
Posts: n/a
Default

In fact, like almost all financial functions, NPV works with a *periodic*
interest rate. In other words, NPV doesn't care what the period is (it could
be annually, quarterly, monthly, etc.). NPV requires that the rate be for
the same period as the amounts. If you give NPV a series of monthly amounts,
it assumes your rate is a monthly rate.

It's your job to ensure the amounts and rate are for the same period. Once
done, Excel will calculate NPV properly.

--
Regards,
Fred
Please reply to newsgroup, not e-mail


"JP SIngh" wrote in message
...
I am not an accountant hence my language maynot sound very "fianacial" but
i
do have a question

I understand that NPV funciton in excel calculates the results annually or
for 12 months.

How can get the NPV value for each month?

Does that make sense?

Thanks




Reply
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules

Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


Similar Threads
Thread Thread Starter Forum Replies Last Post
Calculate total interest earned on a loan and monthly payment Matt Stanley Excel Worksheet Functions 4 May 4th 23 03:42 AM
Z Chart i.e. top rolling annual bottom rolling monthly middle cum. wat prin Excel Worksheet Functions 0 January 28th 05 03:43 PM
OFFSET function to pick up monthly groups of data Gary T Excel Worksheet Functions 2 January 14th 05 02:13 PM
HELP! monthly recurring revenue DigtalMe Excel Worksheet Functions 0 November 23rd 04 08:27 PM
What formula can you use to compound monthly returns? Legan002 Excel Worksheet Functions 1 November 18th 04 06:47 PM


All times are GMT +1. The time now is 05:19 PM.

Powered by vBulletin® Copyright ©2000 - 2025, Jelsoft Enterprises Ltd.
Copyright ©2004-2025 ExcelBanter.
The comments are property of their posters.
 

About Us

"It's about Microsoft Excel"