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Unformatted text preview: Rate 15%(Same as .15) Year Cash Flow Present Value Formula 1 1000 $869.57 =PV($B$3,A6,0,B6) 2 3000 $2,268.43 =PV($B$3,A7,0,B7) 3 5000 $3,287.58 =PV($B$3,A8,0,B8) 4 7000 $4,002.27 =PV($B$3,A9,0,B9) 5 9000 $4,474.59 =PV($B$3,A10,0,B10) Total PV $14,902.44 =SUM(C6:C10) Comments: The negative sign before the PV formula makes the result positive. The formua asks for a payment between number of periods and future value, hence the 0. The dollar signs around B3 make the rate an absolute reference so that the formula may be entered once and then copied down....
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 Spring '10
 D
 Subtraction

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