FinPv

Syntax

FinPv(Rate,NPer,Pmt,Fv,Due)

Description

Calculates the present value of an annuity based on future periodic fixed payments and a constant rate of interest.

Rate and NPer must be expressed in the same units. If Rate is expressed in months, then NPer must also be expressed in months.

Positive numbers represent cash received, whereas negative numbers represent cash paid out.

Parameter	Description
Rate	Double representing the interest rate per period. When used with monthly payments, be sure to normalize annual percentage rates by dividing them by 12.
NPer	Double representing the total number of payments in the annuity.
Pmt	Double representing the amount of each payment per period.
Fv	Double representing the future value of the annuity after the last payment has been made. In the case of a loan, the future value would be 0.
Due	Integer indicating when the payments are due for each payment period. A 0 specifies payment at the end of each period, whereas a 1 specifies payment at the start of each period.

See Also

FinFv, FinIRR, FinMIRR, FinNPv.

Example

 
Sub Main
'This example demonstrates the present value (the 
'amount you’d have to pay now) for a $100,000 
'annuity that pays an annual income of $5,000 over 
'20 years at an annual interest rate of 10%.
 
    pval = Pv(.1,20,-5000,100000,1)
    MsgBox "The present value is: " & _
			Format(pval,"###,###,##0.00")
End Sub