## Investment discount rate calculator

16 Oct 2019 Example 1: Discount rate calculation. The maturity amount for an investment is £ 10m. The gain for the single period from the start to the final  17 Aug 2016 Textbook theory says calculating discount rate should be done using the We added in Coke's cash and short-term investments, subtracted

Calculate the Net Present Value (NPV) for an investment based on initial deposit, discount rate and investment term. Net Present Worth calculator, NPV formula and how to determine NPV/NPW. Also calculates Internal Rate of Return (IRR). The definition of a discount rate depends the context, it's either defined as the interest rate used to calculate net present value or the interest rate charged by the Federal Reserve Bank. There are two discount rate formulas you can use to calculate discount rate, WACC (weighted average cost of capital) and APV (adjusted present value). This free tool helps you calculate the profitability index (PI) or profit investment ratio (PIR) based on the amount of your investment, the discount rate, and the number of years. GoodCalculators.com A collection of really good online calculators for use in every day domestic and commercial use! If we calculate the present value of that future \$10,000 with an inflation rate of 7% using the net present value calculator above, the result will be \$7,129.86. What that means is the discounted present value of a \$10,000 lump sum payment in 5 years is roughly equal to \$7,129.86 today at a discount rate of 7%. Free calculator to find payback period, discounted payback period, and average return of either steady or irregular cash flows, or to learn more about payback period, discount rate, and cash flow. Experiment with other investment calculators, or explore other calculators addressing finance, math, fitness, health, and many more. The discount rate is the interest rate used when calculating the net present value (NPV) of something.  NPV is a core component of corporate budgeting and is a comprehensive way to calculate

## Calculating Discount Rates. The discount rate or discount factor is a percentage that represents the time value of money for a certain cash flow. To calculate a discount rate for a cash flow, you'll need to know the highest interest rate you could get on a similar investment elsewhere.

The definition of a discount rate depends the context, it's either defined as the interest rate used to calculate net present value or the interest rate charged by the Federal Reserve Bank. There are two discount rate formulas you can use to calculate discount rate, WACC (weighted average cost of capital) and APV (adjusted present value). This free tool helps you calculate the profitability index (PI) or profit investment ratio (PIR) based on the amount of your investment, the discount rate, and the number of years. GoodCalculators.com A collection of really good online calculators for use in every day domestic and commercial use! If we calculate the present value of that future \$10,000 with an inflation rate of 7% using the net present value calculator above, the result will be \$7,129.86. What that means is the discounted present value of a \$10,000 lump sum payment in 5 years is roughly equal to \$7,129.86 today at a discount rate of 7%. Free calculator to find payback period, discounted payback period, and average return of either steady or irregular cash flows, or to learn more about payback period, discount rate, and cash flow. Experiment with other investment calculators, or explore other calculators addressing finance, math, fitness, health, and many more.