NPV & IRR Calculator

Net present value, internal rate of return and payback period

Quick Answer

NPV & IRR Calculator: Net present value, internal rate of return and payback period. NPV = Σ CFₜ ÷ (1+r)ᵗ − initial investment; accept if NPV > 0.

Initial investment (CNY)

Discount rate %

Yearly cash flows (comma separated)

NPV @ 8%

+45,865

NPV > 0 → worth investing

IRR

24.89%

IRR 24.89% > 8% hurdle → accept

Total inflow180,000

Nominal gain+80,000

PaybackYear 3

Years4

Steps

1NPV = −100,000 + 30,000/(1+8%)^1 + 40,000/(1+8%)^2 + 50,000/(1+8%)^3 + 60,000/(1+8%)^4
2NPV = 45,865
3IRR: solve NPV = 0 by bisection → 24.89%

Decision rules

Metric	Accept when	Meaning
NPV	> 0	Value created after cost of capital
IRR	> hurdle rate	Break-even discount rate
Payback	< expected horizon	Time to recover principal (ignores discounting)

💡 NPV and IRR usually agree, but for mutually exclusive projects of different scales, trust NPV — IRR can mislead when cash flow signs flip multiple times.

Was this tool helpful?

How to Use

Enter amounts and terms: fill principal, rate and period in the NPV & IRR Calculator (defaults work for a quick try).
Instant results: key figures and cost breakdown update live as you type.
Compare scenarios: tweak any parameter to compare costs and returns across plans.
Copy key numbers: one-click copy for records or sharing with your advisor.

Key Points

NPV & IRR Calculator is a free online finance tool — open and use, no sign-up.
All calculations run locally in your browser; your data never leaves the device.
Key capability: Net present value, internal rate of return and payback period.
Results come with formulas and reference tables so you can verify every number.

Formula & How It Works

Investment appraisal

NPV = Σ CFₜ ÷ (1+r)ᵗ − initial investment; accept if NPV > 0

IRR: the rate making NPV = 0 (bisection solver); accept if IRR > required return

PI = PV of inflows ÷ investment; > 1 acceptable

FAQ

How do I use the NPV & IRR Calculator?

Open the page and fill in the input fields — results update automatically. Net present value, internal rate of return and payback period.

Are the results accurate?

Yes. Standard financial formulas and published rate data are used. For official figures, consult your financial institution.

Is it free? Do I need to sign up?

Completely free. No registration, login or download required.

Can I use the results for financial decisions?

Results are for reference. Consult a licensed financial advisor before major decisions.

Does it work on mobile?

Yes. Fully responsive on phones, tablets and desktops.

Related Guides

Source & Updates

Based on published rate tables and standard financial formulas. Last updated: 2025-07

Authoritative sources:

Last updated: 2026-08-04

Formulas and content on this page are reviewed by the YiJianSuan team. For reference only — official sources prevail.

Cite this page: YiJianSuan. NPV & IRR Calculator[EB/OL]. https://www.yijiansuan.com/en/c/finance/npv-irr

Results provided by this tool are for reference only and do not constitute professional advice.