RATE

Returns the interest rate per period of an annuity.

Syntax

RATE( Number nper, Number payment, Number pv, [Number fv = 0], [Number type = 0], [Number guess = 0.1] ) → Percentage

Parameters

nper

Required. The total number of payment periods.

payment

Required. The payment made each period.

pv

Required. The present value of the investment.

fv

Optional. The future value. If omitted, fv is assumed to be 0.

type

Optional. Indicates when payment is due. Less than 1 (or omitted) indicates at the end of the period, >= 1 indicates at the beginning of the period. If omitted, type is assumed to be 0.

guess

Optional. An estimate of the interest rate to start the iterative computation. If omitted, guess is assumed to be 0.1 (10%).

Example

Formula

=RATE(2*12,-250,4000)

See Also

Function Reference
FV Function
NPER Function
PMT Function
PV Function