cf: Cash Flow model

In financial: Solving financial problems in R

Description

Calculates a Cash Flow model from a vector of flows.

Usage

cf(x, i = NULL, safe = NULL, rein = safe)

Arguments

x	a vector of cash flows.
i	a vector of periodic rates used in calculating NPV, NFV and NUS table.
safe	a vector of safe periodic rates using in calculating MIRR.
rein	a vector of reinvestment periodic rates using in calculating MIRR.

Details

The negative values are money paid out, the positive values are money received in.

IRR (Internal rate of return) is calculated by solving polynomial, using polyroot function. If IRR equation have several real solutions, all are found.

NPV extremes are found in the same method, after obtaining first-order derivative of IRR equation.

MIRR table and NPV table are created only if i, safe and rein are given (are not null).

Value

An object of class "cf", being a list of the following compounds:

cf	a vector of cash flows.
mirr	a matrix containing for each safe and reinvestment rate pair - modified internal rate of return values. If not calculated, has NULL value.
tab	a matrix containing for each periodic rate (i) - NPV, NFV and NUS value. If not calculated, set to NULL.
irr	a vector of IRR values - real rates giving NPV equal to zero. The number of values are dependent of sign changes in cash flow series (one or more real roots of polynomial).
ext	a vector of rate values giving extremes in NPV - maxima or minima. May have no values, if they are no sign changes in cash flows.

Author(s)

Lukasz Komsta

See Also

summary.cf

Examples

y = cf(c(-2500,6250,-3800),1:10,2:11,4:13)
y
summary(y)
plot(y)
plot(y,type="n")

Example output

Cash Flow Model

Flows:
    1     2     3 
-2500  6250 -3800 

 IRR%: 4.38 45.62 
 NPV Extremes at I%: 21.6 

   Safe% Rein% MIRR%
1      2     4  2.79
2      3     5  3.88
3      4     6  4.96
4      5     7  6.05
5      6     8  7.12
6      7     9  8.20
7      8    10  9.27
8      9    11 10.34
9     10    12 11.40
10    11    13 12.46

   I%    NPV    NFV    NUS
1   1 -37.01 -37.75 -18.78
2   2 -24.99 -26.00 -12.87
3   3 -13.90 -14.75  -7.27
4   4  -3.70  -4.00  -1.96
5   5   5.67   6.25   3.05
6   6  14.24  16.00   7.77
7   7  22.05  25.25  12.20
8   8  29.15  34.00  16.35
9   9  35.56  42.25  20.22
10 10  41.32  50.00  23.81

# 2 

Cash Flow Model

Flows:
    1     2 
-2500  6250 

 IRR%: 150 
 NPV Extremes at I%:  

   I%     NPV  NFV  NUS
1   1 3688.12 3725 3725
2   2 3627.45 3700 3700
3   3 3567.96 3675 3675
4   4 3509.62 3650 3650
5   5 3452.38 3625 3625
6   6 3396.23 3600 3600
7   7 3341.12 3575 3575
8   8 3287.04 3550 3550
9   9 3233.94 3525 3525
10 10 3181.82 3500 3500

# 3 

Cash Flow Model

Flows:
    1     2     3 
-2500  6250 -3800 

 IRR%: 4.38 45.62 
 NPV Extremes at I%: 21.6 

   I%    NPV    NFV    NUS
1   1 -37.01 -37.75 -18.78
2   2 -24.99 -26.00 -12.87
3   3 -13.90 -14.75  -7.27
4   4  -3.70  -4.00  -1.96
5   5   5.67   6.25   3.05
6   6  14.24  16.00   7.77
7   7  22.05  25.25  12.20
8   8  29.15  34.00  16.35
9   9  35.56  42.25  20.22
10 10  41.32  50.00  23.81

financial documentation built on May 30, 2017, 2:35 a.m.