Net Present Value (NPV) - Basics, Formula, Calculations in Excel (Step by Step)

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  • Опубліковано 10 жов 2024

КОМЕНТАРІ • 46

  • @vineetdubey2063
    @vineetdubey2063 Місяць тому

    It was a wonderful video. It became very easy for non-finance people like me to understand the basic concepts through this video!!

  • @priyapillai3449
    @priyapillai3449 6 місяців тому +1

    Thank you so much for the video. I was struggling to understand all these terms, you made it a breeze. Very clear and concise. Thank you again for sharing your knowledge very skillfully.

  • @beccaheller3052
    @beccaheller3052 11 місяців тому +1

    Thank you so much for this video. You make it so easy to understand and walking step-by-step through the Excel formulas is huge!

    • @wallstreetmojo
      @wallstreetmojo  11 місяців тому +1

      Glad we're on the same page, cheers!

  • @rajeshm6703
    @rajeshm6703 Місяць тому

    Excellent teaching!

  • @lindae-da2444
    @lindae-da2444 7 місяців тому

    Thank you Vaidya, a really clear and well-illustrated breakdown of NPV - currently studying MSc and there are so many poorly explained examples available. I will definitely refer to your videos in the future.

    • @wallstreetmojo
      @wallstreetmojo  7 місяців тому

      Your comment made our day, thank you!

  • @mathumalarganesan
    @mathumalarganesan Рік тому +1

    Great tutorial so far that I came a cross. I'm currently pursuing my MBA and your videos on Finance and Accounts are exceptional. Thank you.

  • @shabeernaha
    @shabeernaha Рік тому +1

    🎉🎉 Very simple and crystal clear.Thanks Vaidya

  • @lolingthornton8189
    @lolingthornton8189 Рік тому

    Thank you for this video. I'm in the process of taking my Priniciples of Finance course in college, it's great to see these formulas in real time. I look forward to reviewing your videos on this subject going forward.

    • @wallstreetmojo
      @wallstreetmojo  Рік тому

      Appreciate your feedback, more content coming soon!

  • @mohitsingha210
    @mohitsingha210 Рік тому

    Thank you. Very well explained, including the fact that all the inputs are assumption based!

  • @braysonfadhili5891
    @braysonfadhili5891 11 місяців тому

    Very powerful tutorial. Thank you and be blessed

    • @wallstreetmojo
      @wallstreetmojo  10 місяців тому

      Thanks for sharing your perspective!

  • @WorDouglas8
    @WorDouglas8 5 місяців тому +1

    Hi I though this was well explained and great application. Request - Can you do a video that explaine Pay Back, NPV and IRR and at the end a comparision of the differences of all three investment tools PLEASE!

  • @MuhammadSalmanHabib
    @MuhammadSalmanHabib 5 місяців тому

    Very useful, explained like a Pro.

    • @wallstreetmojo
      @wallstreetmojo  4 місяці тому

      🎁Check out our Free and Paid courses at www.wallstreetmojo.com/all-courses/

  • @afzal1jeddahwala
    @afzal1jeddahwala 2 роки тому

    Hi Dheeraj,
    Have read your articles and postings on the Web. Glad to see you on UA-cam......!!

  • @samwai4424
    @samwai4424 2 роки тому +1

    Good explanation of NPV. It's simple and easy to understand. Can you explain how to create graph using excel. I'm a beginner here.

  • @digvijaychoudhari4128
    @digvijaychoudhari4128 2 роки тому +1

    Good explanation of npv sir

  • @flaviot5226
    @flaviot5226 Рік тому

    Thank you very much very intersting and very good explanation; the only thing I couldn't catcht how do you design the GRAPH

  • @richavora7819
    @richavora7819 5 місяців тому

    fantastically described

    • @wallstreetmojo
      @wallstreetmojo  4 місяці тому

      🎁Check out our Free and Paid courses at www.wallstreetmojo.com/all-courses/

  • @EK-vh7pw
    @EK-vh7pw 2 місяці тому

    Thank you so so much!

  • @rafiuahmed
    @rafiuahmed 2 роки тому +1

    Thank you Dheeraj. Amazing explanation of NPV. If you have a new project that has a setup period, for instance, the project takes 2 years to set up before cash inflows can start. Do you indicate the cash inflows as zero for the first 2 years?

  • @TheElBudo
    @TheElBudo 7 місяців тому

    In your example you use increasing cash flow, seeming to echo the years: 110 for year 1, 120 for year 2...This causes the PV values to also be regularly increasing all while using the $100 amount for clarity - but it's just a coincidence, no?

  • @kanchandatta4668
    @kanchandatta4668 8 місяців тому

    What are the determinants of discount rate? Is it cost of capital + expected rate of interest rate?

  • @deepankibasra6939
    @deepankibasra6939 2 місяці тому

    Nice 👍

  • @shahbazyandav82
    @shahbazyandav82 Рік тому

    Thanks a lot for this useful video

  • @francoisandrieu8101
    @francoisandrieu8101 2 роки тому

    you are incredible

  • @haritsanat1
    @haritsanat1 2 роки тому +1

    So present value is how much we need to invest now given our accepted rate of return

  • @haritsanat1
    @haritsanat1 2 роки тому +1

    And NPV is, given our accepted rate of return will the project cash flow result positive flow or negative flow. If it is positive we accept it otherwise reject it

  • @ellykappatos2064
    @ellykappatos2064 4 місяці тому

    What about if the cashflows are considered a perpetuity and grow at a certain rate? Help!!

  • @guzalkhonamanbaeva199
    @guzalkhonamanbaeva199 5 місяців тому

    Thanks a lot😊

    • @wallstreetmojo
      @wallstreetmojo  4 місяці тому

      🎁Check out our Free and Paid courses at www.wallstreetmojo.com/all-courses/

  • @SOLO19847
    @SOLO19847 Рік тому

    best

  • @haritsanat1
    @haritsanat1 2 роки тому +1

    If NPV is zero we earn exactly the accepted rate of return

  • @mabarbadminton6100
    @mabarbadminton6100 11 місяців тому

    beautiful.... on point crystal clear

    • @wallstreetmojo
      @wallstreetmojo  11 місяців тому

      Thanks for sharing your perspective!