Hello,
The numbers in the table are just an example to show how to calculate NPV by applying the formula.
I think the most important is to keep in mind that:NPV is the TOTAL present value of your Revenues minus the TOTAL present value of your cost.over a given time period.
in the table you have the column for Income/Revenue, then you have another column for Costs.
so for this table,
NPV (from time period 0 to 3) = TOTAL (Present value of Income(year 0) +Present value of Income (year 1) +Present value of Income (year 2) +Present value of Income (year 3) ) - TOTAL ( Present value of COST (year 0) +Present value of COST (year 1) +Present value of COST (year 2) +Present value of COST (year 3) ).
Thanks
Serge