Financial =NPV(rate,value1,[value2],...)

Quiz =NPV — 15 Questions

15 quiz questions about =NPV — test syntax, arguments, examples & errors!

Questions: 10 questions 15 questions Random 10 or 15 questions from the pool + shuffled options each time

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Progress — 15 questions 1 of 15

Question 1 of 15 1/15

Which function is related to =NPV?

Question 2 of 15 2/15

Is argument “rate” required in =NPV?

Question 3 of 15 3/15

What is the type of argument “value1” in =NPV?

Question 4 of 15 4/15

Is =NPV volatile?

Question 5 of 15 5/15

Does =NPV return a dynamic array?

Question 6 of 15 6/15

Which statement about =NPV is correct?

Question 7 of 15 7/15

Which is the correct syntax of =NPV?

Question 8 of 15 8/15

In =NPV, which is argument #2?

Question 9 of 15 9/15

Which formula is a valid example of =NPV?

Question 10 of 15 10/15

Which function is NOT related to =NPV?

Question 11 of 15 11/15

What is the output type of =NPV?

Question 12 of 15 12/15

How many required arguments does =NPV have?

Question 13 of 15 13/15

What is the type of argument “rate” in =NPV?

Question 14 of 15 14/15

How many optional arguments does =NPV have?

Question 15 of 15 15/15

Which category does =NPV belong to?

Click a question to see the answer.

1. Which function is related to =NPV?

A. IRR ✓
B. STDEV.S
C. LOG10
D. NOW

Explanation: “IRR” is related to NPV.

2. Is argument “rate” required in =NPV?

A. Yes
B. —
C. Yes ✓
D. No

Explanation: “rate” is required.

3. What is the type of argument “value1” in =NPV?

A. Date
B. Logical
C. Number ✓
D. Reference

Explanation: Type of “value1” is “Number”.

4. Is =NPV volatile?

A. —
B. Yes
C. No
D. No ✓

Explanation: NPV is not volatile.

5. Does =NPV return a dynamic array?

A. —
B. Yes
C. No ✓
D. No

Explanation: NPV does not spill.

6. Which statement about =NPV is correct?

A. Text is always ignored
B. The NPV investment begins one period before the date of the value1 cash flow and ends with the last cash flow in the list. The NPV calculation is based on future cash flows. If your first cash flow occurs at the beginning of the first period, the first value must be added to the NPV result, not included in the values arguments. For more information, see the examples below. ✓
C. Volatile and recalculates every time
D. NPV is also related to the IRR function (internal rate of return). IRR is the rate for which NPV equals zero: NPV(IRR(...), ...) = 0.

Explanation: Correct: The NPV investment begins one period before the date of the value1 cash flow and ends with the last cash flow in the list. The NPV calculation is based on future cash flows. If your first cash flow occurs at the beginning of the first period, the first value must be added to the NPV result, not included in the values arguments. For more information, see the examples below.

7. Which is the correct syntax of =NPV?

A. =NPV(rate,value1,[value2],..., 0)
B. =NPV(rate,value1,[value2],...) ✓
C. =IRR(rate,value1,[value2],...)
D. NPV(rate,value1,[value2],...)

Explanation: Correct syntax: =NPV(rate,value1,[value2],...)

8. In =NPV, which is argument #2?

A. value1 ✓
B. range
C. criteria
D. value

Explanation: Argument #2 is “value1”.

9. Which formula is a valid example of =NPV?

A. =NPV(A2, A3, A4, A5, A6) ✓
B. =IRR(A2, A3, A4, A5, A6)
C. =NPV(A2, A3, A4, A5, A6, 0)
D. NPV(A2, A3, A4, A5, A6)

Explanation: Correct example: =NPV(A2, A3, A4, A5, A6)

10. Which function is NOT related to =NPV?

A. PV
B. XNPV
C. COT ✓
D. IRR

Explanation: “COT” is not related to NPV.

11. What is the output type of =NPV?

A. Text
B. Number ✓
C. Value
D. Reference

Explanation: Output is “Number”.

12. How many required arguments does =NPV have?

A. 4
B. 1
C. 2 ✓
D. 3

Explanation: =NPV has 2 required, 0 optional (2 total).

13. What is the type of argument “rate” in =NPV?

A. Array
B. Number ✓
C. Value
D. Logical

Explanation: Type of “rate” is “Number”.

14. How many optional arguments does =NPV have?

A. 1
B. —
C. 2
D. 0 ✓

Explanation: =NPV has 2 required, 0 optional (2 total).

15. Which category does =NPV belong to?

A. Financial ✓
B. Web
C. Compatibility
D. Math & Trig

Explanation: Category is “Financial”.