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Value - what value?, page-107

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    YW Stefan.

    That is actually a common mistake IMO.

    Excel PV formula assumes that PV of an investment is a series of future payments, assuming periodic, constant payments and a constant interest rate. With just 1 payment years into the future the "skipping" of payments makes a difference when using PV(rate,nper,fcf) for 1 future payment "n" periods" into the future.

    They are all estimates anyway. wink.png
 
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