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URL:  http://boards.fool.com/there-are-other-factors-needed-in-order-to-come-30488499.aspx

Subject:  Re: Need Present value (?) calculation help Date:  1/16/2013  11:53 AM
Author:  DragonTales Number:  71253 of 76235

There are other factors needed in order to come up with an estimate, mainly the discount rate you'd want to apply. You can do an IRR, but you'd need a starting cost to figure it. You can use a spreadsheet and the NPV function to determine a break-even point, by assuming various initial costs. For instance, here's a table of approximate PVs with associated discount rates:

I don't understand how a discount rate fits in. What am I discounting?

For your chart values, I'm guessing there is a 0% discount rate amount?

Tails
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