The function presentvalue gives the value at period=0 of an amount given at period=nperiods. The interest rate is given by rate.

The present value concept is arguably the most important concept behind the personal finance portion of the Finance package. It allows one to properly account for the time value of money.

presentvalue is the appropriate function to calculate the present value of a pure discount bond (zero-level bond).

Since presentvalue used to be part of the (now deprecated) finance package, for compatibility with older worksheets, this command can also be called using finance[presentvalue]. However, it is recommended that you use the superseding package name, Finance, instead: Finance[presentvalue].

$\mathrm{with}\left(\mathrm{Finance}\right)\:$

$\mathrm{presentvalue}\left(100\,0.12\,3\right)$

$71.17802478$

$\frac{100}{{\left(1+0.12\right)}^3}$

$71.17802478$

$r≔\mathrm{effectiverate}\left(0.12\,12\right)$

$r≔0.126825030$

$\mathrm{presentvalue}\left(100\,r\,3\right)$

$69.89249499$

$\mathrm{presentvalue}\left(1000\,0.10\,5\right)$

$620.9213231$

$\mathrm{fsolve}\left(\mathrm{presentvalue}\left(1000\,\mathrm{rate}\,5\right)-800\,\mathrm{rate}\right)$

$0.04563955259$

The Finance[presentvalue] command was introduced in Maple 15.

For more information on Maple 15 changes, see Updates in Maple 15.