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    Calculating Discounted Cash Flows - SAMPLE: Year Discount Rate Return Cash Flow Discounted Cash Flow

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    fpkhanz
    This document provides an example calculation of discounted cash flows for an investment project over 5 years. It shows the annual pre-tax cash flows of $10,000 each year, discounted at a 3% inflation rate. The net present value of the total discounted cash flows is $50,000, indicating the investment project is financially viable.

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    Calculating Discounted Cash Flows - SAMPLE: Year Discount Rate Return Cash Flow Discounted Cash Flow

    Uploaded by

    fpkhanz
    31 views1 page
    This document provides an example calculation of discounted cash flows for an investment project over 5 years. It shows the annual pre-tax cash flows of $10,000 each year, discounted at a 3% inflation rate. The net present value of the total discounted cash flows is $50,000, indicating the investment project is financially viable.

    Original Description:

    Spreadsheet Example of NPY

    Original Title

    NPV Example Excel 2007

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    This document provides an example calculation of discounted cash flows for an investment project over 5 years. It shows the annual pre-tax cash flows of $10,000 each year, discounted at a 3% inflation rate. The net present value of the total discounted cash flows is $50,000, indicating the investment project is financially viable.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    31 views1 page

    Calculating Discounted Cash Flows - SAMPLE: Year Discount Rate Return Cash Flow Discounted Cash Flow

    Uploaded by

    fpkhanz
    This document provides an example calculation of discounted cash flows for an investment project over 5 years. It shows the annual pre-tax cash flows of $10,000 each year, discounted at a 3% inflation rate. The net present value of the total discounted cash flows is $50,000, indicating the investment project is financially viable.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as xlsx, pdf, or txt
    of 1

    Calculating Discounted Cash Flows - SAMPLE

    Investment
    Inflation

    Year
    1
    2
    3
    4
    5
    Total NPV

    $40,000
    3.00% Sample entry 0.03
    Return cash
    flow
    $10,000.00
    $10,000.00
    $10,000.00
    $10,000.00
    $10,000.00
    $50,000.00

    Discounted
    cash flow
    $9,708.74
    $9,425.96
    $9,151.42
    $8,884.87
    $8,626.09

    Discount rate
    0.9708737864
    0.9425959091
    0.9151416594
    0.8884870479
    0.8626087844

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