I used the npv formula to calculate my immediate investments but how to i get those results to project what it would be one year from now?|||You need to use the FV function in excel.
You will need the following information:
Expected Return
Number of Periods (In your case 1)
Annual Payment (If a bond and pays a coupon or you are adding money into it)
Present Value (Enter as a negative number)
Type - beginning or end of the year, if left blank, will default to end of the year (0)
the formula is
=FV(rate,number of periods,payment,present value, type)|||Either you're confused or I'm confused.
The present value is what you put in today.
The net present value is the difference between the future value discounted at the appropriate rate and the present value.
You can't compute the NPV unless you already know the future value and the discount rate.
******To know your future value from the present value,
multiply the present value by (1 + r), where r is the rate of return on your investment.
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