Present Value Calculator
Payment  Stream
V T PI  M N   PV  
   Discount Rate 0.00




This calculator determines the present value for income streams that can be fixed over time, but can also be specified to grow over time.


The discount rate R applies to all payment streams.

Click "New" to create a payment stream.  (The limit is four payment streams.)  Click "Edit" to modify the parameters of  an existing payment stream.

For each payment stream, the nominal value is V for period T.  Enter T = 0 for a current (not discounted) value.  If the growth rate PI is nonzero, the nominal values grow at that rate over time.  The payment stream begins in period M and continues for N periods.  Enter M = 1 and N = 30 for a 30-year mortgage with annual end-of-period payments



The "Help" pull-down menu has an option to show a table giving the present value calculations per period.


The "Help" pull-down menu also has options to show four examples:  a coupon bond, a mortgage, an investment in college education, and a stock with growing dividends.  The latter two examples illustrate the calculations for a growing income stream.


To start over, clear.