Training by: Rahul Agarwal

(MBA,Certified Financial Planner)

www.infily.in
[email protected]

FINANCE FUNCTIONS
1 FIVE BASIC RULES
2 PV
3 FV
4 NPER
5 RATE
6 PMT
7 IRR
8 XIRR
9 NPV
10 XNPV
11 REAL RATE
12 GOAL SEEK
13 FV SCHEDULE
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Five Basic rules
Four Basic Rules

1 Every financial formula starts with + or = formula name (

2 Always put any investment in formula with - sign
3 Elements of the formula will be separated by , in MS Excel or ;
4 Elements of the formula should be in the same sequence as sh
5 The required inputs will be in bold in the formula
ula name (

in MS Excel or ; in open office

e sequence as shown below as you start the formula
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PV

RATE 10%
NPER 20
PMT 0
FV 500000
TYPE 0

PV ? ($74,321.81)
 This formula returns the present value of a future value required

Rate at which investment has been done

Period for which investment has been done
No regular payment so put zero
Money required in future
Type has only relevance with PMT
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RATE This formula returns the rate for x investment to

NPER 20.00
PMT 0
PV -500000
FV 2000000

TYPE 0

RATE 7.1773%
This formula returns the rate for x investment to become y

Period for which investment has been done

No regular payment so put zero
Money invested today
Money required in future

Type has only relevance with PMT

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FV This formula returns the future value of an Investment

RATE 10%
NPER 20
PMT 0
PV -500000
TYPE 0

FV ? 3,363,749.97
ue of an Investment

Rate at which investment has been done

Period for which investment has been done
No regular payment so put zero
Money required in future
Type has only relevance with PMT
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IRR

1
2
3
4
5
6
This formula returns the rate of return when investment and withdrawl both takes place in a fixed interval

-10,000.00
-10,000.00
0
-10,000.00
-10,000.00
65,000.00
e in a fixed interval

Rate of return generated

16%
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NPER This formula returns the time taken for x investment to become y

RATE 10% Rate at which investment h

PMT 0 No regular payment so put
PV -500000 Money invested today
FV 2000000 Money required in future
TYPE 0 Type has only relevance wit

NPER ? 14.55 No. of years it will take

Rate at which investment has been done
No regular payment so put zero
Money invested today
Money required in future
Type has only relevance with PMT

No. of years it will take

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PMT This formula returns the regular amount withdrawn/investment for the certain r

RATE 10%
NPER 20
PV 0
FV 2000000
TYPE 1
PMT -31,744.77

TYPE TYPE Has a strong relevence with PMT

BEGIN TYPE 1
END TYPE 0

BEGIN Examples Investment,Rent

END Examples EMI
wn/investment for the certain requirements

Rate at which investment has been done

Period for which investment has been done
Money invested today
Money required in future
Type has only relevance with PMT
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4-Jul-14
5-Nov-15
1-Aug-18
6-May-19

6-Aug-19

7-Apr-20
 XIRR

This formula returs the rate of teturn when investment and withdrawl both takes place on sepcific dates
-10,000.00 17%
-10,000.00
2,000.00
-10,000.00

-10,000.00

65,000.00
Rate of return generated
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NO. OF YEARS
1
2
3
4

6
 NPV

This formula returs the composit present value of different futute requirements.
20,000.00 RATE
20,000.00 NPV
0.00
35,000.00

39,000.00

65,000.00
12%
111,104.82
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DATES
5-Jun-25
5-May-20
4-Nov-21
1-Aug-22
4-Sep-23
 XNPV

This formula returs the composit present value of different futute requirements on specific dates
0.00 RATE
20,000.00 XNPV
50,000.00
70,000.00
90,000.00
( Pls remember first date for this formula will be the current date)
12%
317,105.92
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REAL RATE This formula returs the infaltion adusted return or real rate.

Formula ( 100+rate/100+inflation)-1

Example Rate
inflation

Real rate (110/104)-1

e infaltion adusted return or real rate.

10%
4%

5.769%
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GOAL SEEK FORMULA
PRICE 2857.1429
QTY 175

SALES 500000
This formula does a back testing for the results required changes in the inputs
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FV SCHEDULE This formula returns the future value of an inv

Return 1st year 11%

2nd year -5%
3rd year 11%
4th year 2%
5th year 14%

what is total returns "fvschedule

1.3610516
Now you can multiply your initial investment with the factor and can calculate the corpus
 This formula returns the future value of an investment with different annual rates

"fvschedule

ment with the factor and can calculate the corpus