Rate Formula Excel Error
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To: Excel 2016, Excel 2013, Excel 2010, Excel 2007, Excel 2016 for Mac, Excel for Mac 2011, Excel Online, Excel for iPad, Excel for iPhone, Excel for Android how to find interest rate in excel tablets, Excel Starter, Excel Mobile, Excel for Android phones, Less Applies To:
Rate Function
Excel 2016 , Excel 2013 , Excel 2010 , Excel 2007 , Excel 2016 for Mac , Excel how to calculate interest rate in excel 2013 for Mac 2011 , Excel Online , Excel for iPad , Excel for iPhone , Excel for Android tablets , Excel Starter , Excel Mobile , Excel for Android nper function excel phones , More... Which version do I have? More... This article describes the formula syntax and usage of the RATE function in Microsoft Excel. Description Returns the interest rate per period of an annuity. RATE is calculated by iteration and can have zero or more solutions. If the successive results of RATE do not converge to within 0.0000001 after
Excel Rate Function Mathematical Formula
20 iterations, RATE returns the #NUM! error value. Syntax RATE(nper, pmt, pv, [fv], [type], [guess]) Note: For a complete description of the arguments nper, pmt, pv, fv, and type, see PV. The RATE function syntax has the following arguments: Nper Required. The total number of payment periods in an annuity. Pmt Required. The payment made each period and cannot change over the life of the annuity. Typically, pmt includes principal and interest but no other fees or taxes. If pmt is omitted, you must include the fv argument. Pv Required. The present value — the total amount that a series of future payments is worth now. Fv Optional. The future value, or a cash balance you want to attain after the last payment is made. If fv is omitted, it is assumed to be 0 (the future value of a loan, for example, is 0). If fv is omitted, you must include the pmt argument. Type Optional. The number 0 or 1 and indicates when payments are due. Set type equal to If payments are due 0 or omitted A
Expires: 05 Mar 2006 11:01 PST Question ID: 441002 I am using Excel to calculate Rates of Return where N = 32 Months PMT = $222.16 PV = $590 =RATE(32,222.16,-590)*12 how to calculate compound interest rate in excel I know the answer should be 451.83%, but Excel gives me #NUM! I've excel rate function formula tried turning ON the Iteration checkbox (Tools, Options, Iteration) with no luck. A successful answer would be to get the correct
How To Calculate Interest Rate In Excel 2007
answer in Excel on the PC. I also have a Excel on my Treo 700w with Windows Mobile 5.0. If it could work too that would be SUPER! Answer Subject: Re: Excel RATE function https://support.office.com/en-us/article/RATE-function-9f665657-4a7e-4bb7-a030-83fc59e748ce gives me Answered By: livioflores-ga on 03 Feb 2006 17:00 PST Rated: Hi!! Your formula is almost right, the problem with it is in the way Excel works to find the solution, see the following text from the help of the Excel's RATE function: "RATE: Returns the interest rate per period of an annuity. RATE is calculated by iteration and can have zero or more solutions. If the successive http://answers.google.com/answers/threadview/id/441002.html results of RATE do not converge to within 0.0000001 after 20 iterations, RATE returns the #NUM! error value. Syntax RATE(nper, pmt, pv, fv, type, guess) See PV for a complete description of the arguments nper, pmt, pv, fv, and type. Nper is the total number of payment periods in an annuity. Pmt is the payment made each period and cannot change over the life of the annuity. Typically, pmt includes principal and interest but no other fees or taxes. Pv is the present valuethe total amount that a series of future payments is worth now. Fv is the future value, or a cash balance you want to attain after the last payment is made. If fv is omitted, it is assumed to be 0 (the future value of a loan, for example, is 0). Type is the number 0 or 1 and indicates when payments are due. Set type equal: If payments are due: 0 or omitted At the end of the period, 1 At the beginning of the period. Guess is your guess for what the rate will be. If you omit guess, it is assumed to be 10%. If RATE does not converge, try different values for guess. RATE usually converges if guess is betwe
calculates the interest rate required to pay off a specified amount of a loan, or to reach a target amount on an investment, over a given period.The syntax of the function is:RATE( nper, pmt, pv, [fv], [type], [guess] )Where the arguments are as follows:nper-The number of periods over which the loan or investment is to be paid.pmt-The (fixed) http://www.excelfunctions.net/Excel-Rate-Function.html payment amount per period.pv-The present value of the loan / investment.[fv]-An optional argument that specifies the https://exceljet.net/excel-functions/excel-rate-function future value of the loan / investment, at the end of nper payments.If omitted, [fv] takes on the default value of 0.[type]-An optional argument that defines whether the payment is made at the start or the end of the period.The [type] argument can have the value 0 or 1, meaning:0 - the payment is made at the end of the period;1 how to - the payment is made at the start of the period.If the [type] argument is omitted, it takes on the default value of 0 (denoting payments made at the end of the period).[guess]-An initial estimate at what the rate will be.If this argument is omitted, it will take on the default value of 10% (=0.1).(Note this is only a value for Excel to start off working with - Excel then uses an iterative procedure to converge to the interest rate in correct rate).Cash Flow Convention:Note that, in line with the general cash flow convention, outgoing payments are represented by negative numbers and incoming payments are represented by positive numbers. This is seen in the examples below.Rate Function ExamplesExample 1In the following spreadsheet, the Excel Rate function is used to calculate the interest rate, with fixed payments of $1,000 per month, to pay off in full, a loan of $50,000 over a period of 5 years. The payments are to be made at the end of each month.Formula:A1Monthly interest rate to clear aloan of $50,000 with payments of$1,000 per mth over 5 yrs (paymentsmade at end of each mth):2=RATE( 60, -1000, 50000 )3Yearly Interest Rate:4=12*A2Result:A1Monthly interest rate to clear aloan of $50,000 with payments of$1,000 per mth over 5 yrs (paymentsmade at end of each mth):20.62%3Yearly Interest Rate:47.42%In the above example:As the payments are made on a monthly basis, the number of periods must be expressed in months (5 years = 60 months).As the payments are outgoing, the pmt argument is a negative value.The returned interest rate is a monthly rate. This can be converted to an annual interest rate by multiplying by 12 (as shown in cell A4).Example 2In the following spreadsheet, the Excel Rate function is used to calculate the interest rate required to save $20,000, over 2 years, with a starting value of zero, and monthly savings of $800. The payments are to be m
rate per period Syntax =RATE (nper, pmt, pv, [fv], [type], [guess]) Arguments nper - The total number of payment periods.pmt - The payment made each period.pv - The present value, or total value of all loan payments now.fv - [optional] The future value, or a cash balance you want after the last payment is made. Defaults to 0 (zero).type - [optional] When payments are due. 0 = end of period. 1 = beginning of period. Default is 0.guess - [optional] Your guess on the rate. Defaults to 10%. Usage notes RATE is calculated by iteration. If the results of RATE do not converge within 20 iterations, RATE returns the #NUM! error value. Notes: You must be consistent with units for guess and nper. If you make monthly payments on a five-year loan at 10 percent annual interest, use 10%/12 for guess and 5*12 for nper. If you make annual payments on the same loan, use 10% for guess and 5 for nper. Excel Formula Training Bite-sized videos in plain English. Learn nested IF, VLOOKUP, INDEX & MATCH, COUNTIFS, RANK, SUMIFS, SMALL, LARGE, and many formulas to handle dates and text. Master absolute and relative addresses, named ranges, errors, and troubleshooting. Instant access with full guarantee. Watch sample videos here. 300 Formula Examples, thoughtfully explained. Popular Topics Functions | Formulas Pivot Tables Conditional formatting VLOOKUP | IF function Keyboard shortcuts Excel pros | Books I find your email tips extremely helpful for excel! - Jill Excel video training Quick, clean, and to the point. Learn more © 2012-2016 Exceljet. Home About Blog Contact Help us Search Twitter Facebook Google+ RSS