What is the excel financial function to compute pw


Problem: Your company plans to raise price on product A by 5% per year. Due to competition, sales volume from product A is expected to decline at 10% per year. Revenue will be $5M for this year. Alternatively, based on the projection from the marketing department, you may reduce the sales volume decline from 10% to 5% if the price is kept unchanged. The product will be discontinued at the end of year 5 for both scenarios. If the firm's TVOM is 10%, determine the revenue cash flow streams for both alternatives. What is the Excel financial function to compute PW of the revenue streams?

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Econometrics: What is the excel financial function to compute pw
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