Read the formula and variables
N equal payments occur at times 1 through N, valued at time zero.
| Input | Meaning |
|---|---|
| C | Equal payment |
| r | Rate per payment period |
| N | Positive payment count |
Check a stated example
Five end-period payments of 1,000 at 6% have PV approximately 4,212.3638.
The amounts in the example are synthetic. Keep the original precision through the calculation and round only the displayed result.
Check the domain and timing
At r = 0, use the limit NC rather than dividing by zero. Payment dates are part of the formula’s conditions.
A changed date, payment pattern or quotation convention can require a different expression even when the numbers look similar. Identify those features before calculating.