Discount Rate NPV Calculator
This calculator helps you determine the Net Present Value (NPV) of a series of future cash flows, considering a specific discount rate. NPV is a fundamental concept in finance used to evaluate the profitability of an investment or project. It represents the current value of all future cash flows, both incoming and outgoing, discounted back to the present at a specific rate.
How it works: You input the initial investment (which is usually a negative cash flow), and then a series of expected cash flows for each future period, along with the discount rate. The calculator then computes the present value of each future cash flow and sums them up with the initial investment to arrive at the Net Present Value.
.calculator-container {
font-family: sans-serif;
border: 1px solid #ccc;
padding: 20px;
border-radius: 8px;
max-width: 600px;
margin: 20px auto;
background-color: #f9f9f9;
}
.calculator-container h2 {
text-align: center;
color: #333;
margin-bottom: 15px;
}
.calculator-container p {
line-height: 1.6;
color: #555;
margin-bottom: 15px;
}
.form-group {
margin-bottom: 15px;
}
.form-group label {
display: block;
margin-bottom: 5px;
font-weight: bold;
color: #444;
}
.form-group input[type="number"] {
width: calc(100% – 22px);
padding: 10px;
border: 1px solid #ccc;
border-radius: 4px;
box-sizing: border-box;
}
.cash-flows {
border-top: 1px solid #eee;
padding-top: 15px;
margin-top: 20px;
}
.cash-flows h3 {
margin-bottom: 15px;
color: #333;
}
.cash-flow-item {
margin-bottom: 10px;
display: flex;
align-items: center;
gap: 10px;
}
.cash-flow-item label {
flex: 1;
font-weight: normal;
color: #555;
}
.cash-flow-item input[type="number"] {
flex: 1;
}
.calculator-container button {
background-color: #4CAF50;
color: white;
padding: 10px 15px;
border: none;
border-radius: 4px;
cursor: pointer;
font-size: 16px;
margin-top: 10px;
}
.calculator-container button:hover {
background-color: #45a049;
}
.calculator-result {
margin-top: 25px;
padding: 15px;
background-color: #e0f7fa;
border: 1px solid #00bcd4;
border-radius: 4px;
text-align: center;
font-size: 1.1em;
font-weight: bold;
color: #00796b;
}
var cashFlowCounter = 6; // Start from 6 as we have 5 initial cash flows
function addCashFlow() {
var cashFlowInputsDiv = document.getElementById("cashFlowInputs");
var newCashFlowDiv = document.createElement("div");
newCashFlowDiv.className = "cash-flow-item";
newCashFlowDiv.innerHTML = `
Period ${cashFlowCounter} Cash Flow:
`;
cashFlowInputsDiv.appendChild(newCashFlowDiv);
cashFlowCounter++;
}
function calculateNPV() {
var initialInvestment = parseFloat(document.getElementById("initialInvestment").value);
var discountRate = parseFloat(document.getElementById("discountRate").value);
var cashFlowInputs = document.getElementsByClassName("cashFlow");
var npv = initialInvestment;
if (isNaN(initialInvestment) || isNaN(discountRate)) {
document.getElementById("result").innerText = "Please enter valid numbers for Initial Investment and Discount Rate.";
return;
}
for (var i = 0; i = 0) {
resultElement.innerText = "Net Present Value (NPV): " + npv.toFixed(2);
} else {
resultElement.innerText = "Net Present Value (NPV): " + npv.toFixed(2) + " (Consider rejecting the investment)";
}
}