PRES_VAL_SCHD Function
Evaluates the present value for a schedule of cash flows. It is not necessary that the cash flows be periodic.
Usage
result = PRES_VAL_SCHD(rate, values, dates)
Input Parameters
rate—Interest rate.
values—One-dimensional array of cash flows.
dates—One-dimensional array of dates cash flows are made. For a more detailed discussion on dates see Chapter 8, Working with Date/Time Data in the .
Returned Value
result—The present value for a schedule of cash flows that is not necessarily periodic. If no result can be computed, NaN is returned.
Input Keywords
Double—If present and nonzero, double precision is used.
Discussion
Function PRES_VAL_SCHD computes the present value for a schedule of cash flows that is not necessarily periodic.
It can be found by solving the following with count = N_ELEMENTS (values):
In the equation above, di represents the ith payment date, d1 represents the 1st payment date, and valueI represents the ith cash flow.
Example
In this example, PRES_VAL_SCHD computes the present value of 3 payments, $1,000, $2,000 and $1,000, with an interest rate of 5% made on January 3, 1997, January 3, 1999 and January 3, 2000.
rate = 0.05
values = [1000.0, 2000.0, 1000.0]
dates = VAR_TO_DT([1997, 1999, 2000], [1, 1, 1], [3, 3, 3])
PRINT, PRES_VAL_SCHD(rate, values, dates)
; PV-WAVE prints: 3677.90
