How to Calculate NPV in Excel Using XNPV Function . To calculate the NPV of an investment project, you must consider the present value of all cash receipts and all cash disbursements related to ...

What the profitability index tells usWhen the profitability index is greater than 1, the project creates value -- it generates a return greater than our required return.

How to calculate CPI in Excel. To calculate the Consumer Price Index between two years in Excel, take a sum of all the amounts spent on the basket of products over those two years.

Find out more about return on equity, the formula to calculate ROE, and how to calculate this measure of corporate profitability in Microsoft Excel.

How to Calculate the Profitability Index. To calculate the profitability index, you first need to determine the present value of the expected future cash flows from the investment.

The profitability index is calculated with the following formula: We calculated that the net present value of all of the lemonade stand's cash flows was $34.20. However, to calculate the ...