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NPV

Net Present Value of any cash-flow stream — the classical accept/reject test.

Dhan Metrics12 June 2026

dhanmetrics.com · Educational illustration only · Not investment advice

Net present value

Accept — clears the hurdle rate

NPV @ 10%

₹3,21,833

Total inflows

₹18,00,000

Total outflows

₹10,00,000

What this means

NPV is the today-value of every future cash flow discounted back. A positive NPV means the project creates value at your chosen discount rate; negative means it destroys value. Sensitive to the discount rate — small rate changes flip the verdict for marginal projects.

Educational illustration only. NPV is sensitive to the discount rate — vary it ±2% to see how robust the answer is.

Adjust your scenario

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Cash flow stream

Money out is negative, money in is positive. Year 0 = today.

Your required return. Use 10–12% for Indian equity-grade decisions, 7–8% for safer projects.