FinancialMath: NPV – R documentation

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NPV

Net Present Value

Calculates the net present value for a series of cash flows, and provides a time diagram of the cash flows.

NPV(cf0,cf,times,i,plot=FALSE)

`cf0`	cash flow at period 0
`cf`	vector of cash flows
`times`	vector of the times for each cash flow
`i`	interest rate per period
`plot`	tells whether or not to plot the time diagram of the cash flows

NPV=cf0-∑_{k=1}^n\frac{cf_k}{(1+i)^{times_k}}

The NPV.

The periods in t must be positive integers.

The lengths of cf and t must be equal.

NPV(cf0=100,cf=c(50,40),times=c(3,5),i=.01)

NPV(cf0=100,cf=50,times=3,i=.05)

NPV(cf0=100,cf=c(50,60,10,20),times=c(1,5,9,9),i=.045)

Financial Mathematics for Actuaries

v0.1.1

GPL-2

Authors

Kameron Penn [aut, cre], Jack Schmidt [aut]

Initial release