Net Present Value

In this section I explain to you Net Present Value, starting from the very beginning. ┬áIf you follow through my lessons here you should start to really understand Net Present Value. Through my detailed explanations I hope to give you enough knowledge to be able to take any complex NPV problem and adapt your formulas & calculations to get the right solution. Professors in finance are well known for giving problems that don’t fit the typical model, to see if you really have a deep understanding (rather than just being able to memorize a process).

Introduction to Net Present Value – Here I explain the basic concept of discounting and show an example of calculating the Net Present Value involving an investment and one cash flow one period away. For beginners but can be beneficial to anyone working through NPV problems.

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