Present Value

The estimated value today of an amount of cash to be received or paid at a future date. (II-12) The calculation is: PV =FV(1+ r/n)-t Where PV = present value FV = future value r = rate of interest or discount rate t = number of discounting periods between the present date (for PV) and the future date when the payments are to be made (for FV) n = number of discounting periods per year

Authorization Path: 2.2.5.2.43.1