# How to Calculate the Present Value with Different Payments in Excel – 5 Examples

## How to Calculate Present Value in Excel with Different Payments: 5 Easy Examples

### Example 1 – Calculate the Present Value for a Single Payment

The sample dataset (B4:C8) showcases the annual interest rate, No. of years and the future value of a single payment.

To calculate the Present Value of the payment for a single payment, use the PV function..

Steps:

• Select C8Â to keep the present value.
• To calculate the present value enter the formula:
`=PV(C5, C6, C7)`
• Press Enter to see the Present Value of the single payment.

### Example 2 – Count the Present Value for a Periodic Payment

In the sample dataset (B4:C9) you can see the investment is \$200 per month for 5 years at a 5% annual interest rate.

Steps:

• Select C9Â to keep the present value.
• To calculate the future value, enter the formula:
`=PV(C5/C8, C6*C8, C7)`
• Press Enter to see the Present Value.

### Example 3 – Present Value Calculation with Regular Cash FlowÂ

In theÂ  dataset (B4:E12) you can can see 4 periods, a required return, and regular cash flows of \$200.

Steps:

• Select D8 and enter the following formula:
`=1/(1+\$C\$4)^B8`
• Press Enter to see the Present Value (PV) factor for period 1.

• Select D8 and drag the Fill Handle to D11 to see the PV factors for all the periods.

• To calculate the present value for an individual period, select E8 and enter the following formula:
`=C8*D8`
• Press Enter to see the present value for period 1.

• Select E8 and drag the fill handle to E11 to see the present values for all the periods.

• To get the total present value, use the SUM function. Enter the formula in E12:
`=SUM(E8:E11)`
• Press Enter to see the total present value.

### Example 4 –Â  Present Value Calculation with Irregular Cash Flow

The dataset (B4:D12) showcases 4 periods, a required return, and irregular cash flows.

Steps:

• Select D8.
• Enter the formula in C8:
`=PV(\$C\$4, B8,,-C8)`
• Press Enter to see the present value of the corresponding cash flow.

• To get all the present values of the cash flows, drag the Fill Handle to the final cash flow.
• All present values of the individual cash flows will be displayed.

• To get the total present value, use the SUM function. Enter the formula in D12:
`=SUM(D8:D11)`
• Press Enter to see the total present value.

### Example 5. Creating a Present Value Calculator

Assign cells for all arguments.

Define the arguments:

rate (periodic interest rate): C5/C10 (annual interest rate / periods per year)

nper (total number of payment periods): C6*C10 (number of years * periods per year)

pmt (periodic payment amount): C7

pv (initial investment): C8

type (when payments are due): C9

compounding periods per year: C10

Steps:

• Select C11 and enter the formula:
`=PV(C5/C10, C6*C10, C7, C8, C10)`
• Press Enter to see the present value.

## How to Calculate the Future ValueÂ  with Different Payments in Excel

To calculate the future value of a single payment.

Steps:

• Select C8Â  to keep the future value.
• Enter the formula:
`=FV(C5, C6, C7)`
• Press EnterÂ to see the Future Value of the single payment.

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