What does an investor seek when calculating net present value?

An investor seeks to identify the value of future cash inflows in today's terms when calculating net present value (NPV). NPV is a financial metric used to evaluate the profitability of an investment by discounting future cash flows back to their present value using a specific discount rate. This method allows investors to determine whether the anticipated cash inflows from an investment exceed its initial cost, thus indicating potential profitability. By bringing future cash flows into present terms, investors can make informed decisions about whether to proceed with an investment based on its expected financial performance.

In the context of the other options, calculating the current cost of the investment would involve a different assessment focused on determining the initial outlay rather than evaluating future returns. Forecasting future market trends is more about predicting overall economic conditions and is not directly related to the specific calculation of NPV. Assessing the total return of an investment over time includes various factors and does not specifically focus on the present value of future cash inflows, which is the core purpose of calculating NPV.