PV()

Syntax. PV(Rate,Nper,Pmt,Fv,Type)

Definition. The PV() function calculates the cash value of a regular payment flow, taking into consideration possible single payments at the end of the period in question, according to the finance mathematical benefit principle:

Payment of the debtor + payment of the creditor = 0

Arguments

  • Rate (required) Specifies the (constant) period interest rate as an annuity interest rate.

  • Nper (required) Specifies the number of interest periods. It is assumed that possible regular payments (in other words, that the Pmt argument is greater than zero) take place at the end or the start of the interest period.

  • Pmt (required/optional, see Note) Informs you about the amount of the regular payments and can be interpreted as an ...

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