Financial NPV & IRR Calculator
- Version 1
- Download 1900
- File Size 54.02 KB
- Create Date June 30, 2019
This template calculates Calculates the NPV and IRR values for a business proposed. These are metrics used in capital budgeting to estimate the profitability of potential investments.
The Net Present Value is the difference between the present value of cash incomes and the present value of cash expenses. It is used to analyze the profitability of an investment or project. If the result is positive that means the investment/project is acceptable.
Internal Rate of Return is the interest rate at which the net present value of all the cash flows from a project/investment equal zero. It is used to evaluate the yield of the project. The investor must compare this result against the opportunity cost.