Present Discounted Value Calculator
Enter cash flows, discount rate, and number of periods to calculate PDV.
The Present Discounted Value Calculator will let users input future cash flows, discount rate, and number of periods to calculate the present discounted value (essentially the same as present value, but applied to streams of payments).
Got it Anderson 🌍 — let’s build a Present Discounted Value (PDV) Calculator as a WordPress shortcode. This tool will let users input future cash flows, discount rate, and number of periods to calculate the present discounted value (essentially the same as present value, but applied to streams of payments).
Formula
The Present Discounted Value of a cash flow stream is:
$$PDV = \sum_{t=1}^{n} \frac{CF_t}{(1+i)^t}$$
Where:
- (CF_t) = Cash flow at time (t)
- (i) = Discount rate per period
- (n) = Number of periods