Free · Investment returns
Cash Flow & Net Present Value Calculator
Discount future cash flows and compare their present value with an initial investment.
- Formula & worked example
- Private in your browser
- No signup
Your calculation
Enter enough known values to calculate the blanks.
Use one currency for your figures. Mixed-currency conversions use rates captured October 5, 2026, rather than live exchange rates.
How to use this calculator
- Enter the values you know in the units shown. Leave unknown values blank.
- Results update automatically as you type. Edit a result to calculate another value, or lock a value to keep it fixed.
- Reset restores the starting fields. A worked example appears below.
Use the result with context
Results are estimates for planning and education. Confirm rates, taxes, fees, and legal requirements with the relevant institution or a qualified professional before making a financial decision.
Formula and method
Net present value adds the discounted value of future cash flows and subtracts the initial investment. Use a discount rate whose period matches the timing of the cash flows.
NPV = −initial investment + Σ(cash flow in year t ÷ (1 + discount rate)^t). Enter the discount rate as a percentage in the calculator.
Worked example
Enter these known values and leave the other values blank.
- Discount rate
- 10 %
- Initial costs
- 1000 USD
- Year 1
- 500 USD
- Year 2
- 500 USD
- Year 3
- 500 USD
- Year 4
- 0 USD
- Year 5
- 0 USD
- Year 6
- 0 USD
- Year 7
- 0 USD
- Year 8
- 0 USD
- Year 9
- 0 USD
- Net present value
- 243.43 USD
- Expected cash flows
- 1243.43 USD
Assumptions and limitations
- Inputs must satisfy the validation rules. Editing a result can recalculate an earlier input; lock values you want to keep fixed.
- Currency conversions use the captured source rates from October 5, 2026; they are not live exchange rates.
Common questions
What does this net present value calculation tell me?
Net present value adds the discounted value of future cash flows and subtracts the initial investment. Use a discount rate whose period matches the timing of the cash flows.
Can I calculate a different unknown?
Yes. Clear that field and enter the other known values. The calculator uses the available inverse equations.
References
The calculation equations, inverse formulas, units, and input rules were imported from this source. Bookify provides the interface and equation solver.
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