Explanation

ThePV functionis a financial function that returns the present value of an investment.

Note payment is entered as a negative number, so the result is positive.

To calculate present value for an annuity due, use 1 for thetypeargument.

Excel formula: Future value of annuity

The only difference istype= 1.

Future value of annuity

Future value vs.

Excel formula: Future value vs. Present value

Excel formula: Bond valuation example

Excel PV function

Excel FV function