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#1
May 4th 07, 06:00 AM posted to microsoft.public.excel.worksheet.functions
 external usenet poster First recorded activity by ExcelBanter: May 2007 Posts: 1
How do I calculate NPV of perpetual annuity.

What is the method to calculate NPV from perpetual annuity.

#2
May 4th 07, 12:25 PM posted to microsoft.public.excel.worksheet.functions
 external usenet poster First recorded activity by ExcelBanter: Feb 2007 Posts: 171
How do I calculate NPV of perpetual annuity.

If the first payment is due a year from now, the PV is simply the annual
payment divided by the interest rate. Ex: \$1000 paid annually, with an
interest rate of 8% is \$12500.

"Kalsang" wrote:

What is the method to calculate NPV from perpetual annuity.

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