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calculating present value of lump sum amount using Microsoft Excel in Microsoft Excel we can compute it easily for example we have to find the present value of a security that will pay 50 000 in 20 years if the Securities of equal this pay seven percent nod so the future value that we will receive is 50 000 interest it is seven percent n is 20 years and to calculate the present value we will use present value function that is equal to present value start the parenthesis rate that is seven percent comma nper that is 20 comma payment we are making no payment so again comma future value that is minus 50 000. close the parenthesis press enter so the present value is computed that is 12920.95