finCalcs NPV calculator
finCalcs NPV calculator is a user-friendly application aimed mainly at financial engineers, but it can very well be used by individuals who are not necessarily professionals in the field, as it enables you to learn what is the net present value of an investment with ease.
The role of the NPV
The net present value, also known under the NPV acronym, is, in simple terms, the difference between inflows and outflows for a financial investment, generally being used to estimate how profitable a certain business project is.
While the NPV may not have the most difficult of formulas, there are still quicker ways of finding out its accurate value, which allows you to save time and effort in the process. finCalcs NPV calculator is one of the available options.
Enter your values and obtain the NPV
The program features a very basic and straight-forward interface that is split into two sections, 'Input I' and 'Input II', where you can enter the information based on which the tool can generate the correct result.
The 'Input I' section enables you to add both the positive and the negative cash flows (also referred to as inflows and outflows, respectively), the latter being signaled through a minus sign in front of the corresponding value.
Similarly, the 'Input II' section allows you to enter the 'Finance Rate', 'Annuity Type', 'Reinvestment Rate', 'Compounding', 'Tax Rate', 'Distribution' and 'Period' (the role of each one in generating the result is further detailed in the 'Help' tab of finCalcs NPV calculator). When complete, you can just click on the 'Calculate' button and obtain your value, and the higher it is, the more profitable your project is.
The advantages of portability
What's more, because the utility is portable, you can place it on a USB stick and run it on all compatible systems, without prior installation. Subsequently, it can be removed just by deleting the containing folder, since it does not generate any registry entries on your computer.
Useful investment assessment tool
To conclude, finCalcs NPV calculator is a handy albeit rather limited software solution that aims to provide you with a simple means of determining the net present value of your business investment.