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**PREPV**(//periods,rate,payment,futurevalue//)

| **PREPV** | Computes the present value required to reach a targeted future value. |
| //periods// | A numeric constant or variable containing the number of periods in which a cash flow occurred. |
| //rate// | A numeric constant or variable containing the //periodic //rate of return. |
| //payment// | A numeric constant or variable containing the periodic payment amount. |
| //futurevalue// | A numeric constant or variable containing the amount of the desired or targeted future value of the investment. |

**PREPV **determines the present value required today to reach a desired amount (//futurevalue//) based upon the total number of periods (//periods//), a periodic interest rate (//rate//), and a payment amount (//payment//). If payments occur at the end of each period then use the **PV **function, which calculates interest accordingly.

Periodic rate may be calculated as follows:

PeriodicRate = AnnualInterestRate / (PeriodsPerYear * 100)

{{note.jpg|NOTE.jpg}}

If the present value is less than the future value (annuities), payments are positive, and conversely, if the present value is greater than the future value (loans), payments are negative.

**Return Data Type:**     DECIMAL

**Internal Formulas:**

{{prepv.jpg|PREPV.jpg}}

where frac(periods) is the fractional portion of the //periods //parameter.

**Example:**

**  PeriodicRate = AnnualRate / (PeriodsPerYear * 100)**

**  IF TimeOfPayment = 'Beginning of Periods'**

**   PresentValue = PREPV(TotalPeriods,PeriodicRate,Payment,FutureValue)**

**  ELSE**

**   PresentValue = PV(TotalPeriods,PeriodicRate,Payment,FutureValue)**

**  END **