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    How do I use the Excel financial formulas to calculate present value, future value and discount rates?

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    Solution Preview

    It is really very easy to calculate using an Excel sheet.

    The explanations are as follows:
    Open a new Excel sheet and click on Insert on the Menu Bar. Then click on fx Function, a window would appear click on Financial in function category and select PV from the Function name and click OK. You will see a window that asks for- Rate, Nper, Pmt, Fv and Type.

    In Rate- put the discount rate,
    Nper-Number of annuity ...

    Solution Summary

    The solution does a very job of explaining exactly how to use several of the financial functions in Excel: PV, FV, and IRR


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