## Investment calculators

calculators

## NPV calculator (Net Present Value of project)

### Calculator

Period | IC | CI | CO | CF | DCF |
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0 | |||||

{{ $index + 1 }} | |||||

NPV |

NPV > 0, project should be accepted NPV < 0, project should be cancelled

### Calculation method

The net present value of the investment project is immediate change in the value of company when project is accepted.

ICO - Initial investment

CH n - Cash flow of n-year

NPV - Net present value

Method rule: If NPV >= 0 – project should be accepted, if NPV < 0 – project should be cancelled. When NPV is positive, the project creates value, when it's negative – destroy.

## DPP calculator (Discount payback period)

### Calculator

Period | IC | CI | CO | CF | DCF |
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0 | |||||

{{ $index + 1 }} | |||||

DPP (years): {{ calcDPP.calcDPPValue() | number:2 }}. Payback period is longer than expected period, it's better to reject it

### Calculation method

Payback period - is the period when cash flow exceeds invested capital.

DPP - Period when the condition will be sutisfied:

## PI calculator (Profitability index of project)

### Calculator

Period | IC | CI | CO | CF | DCF |
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0 | |||||

{{ $index + 1 }} | |||||

PI = {{ calcPI.calcPI() | number:2 }}, capital investment is effective, the project can be accepted PI = {{ calcPI.calcPI() | number:2 }}, capital investment is not effective, it's better to reject the project

### Calculation method

The profitability index is an index that attempts to identify the relationship between the costs and benefits of a proposed project.