Returns
the compound interest rate per period required for an investment
to grow from present to future value in a given period.
Note:
Interest rate calculation methods differ from
country to country. This function calculates an interest rate based
on U.S. interest rate standards.
Syntax
Rate(
n1
,
n2
,
n3
)
Parameters
Parameter
Description
n1
A numeric value or expression representing
the future value of the investment.
n2
A numeric value or expression representing
the present value of the investment.
n3
A numeric value or expression representing
the total number of investment periods.
The function returns an error if any parameter
is negative or 0. If any parameter is null, the function returns
null.
Note:
FormCalc follows the IEEE-754 international
standard when handling floating point numeric values. For more information,
see
Number literals
.
Examples
The
following expressions are examples that use the
Rate
function:
Expression
Returns
Rate(12000, 8000, 5)
0.0844717712
(or 8.45%),
which is the interest rate per period needed for an $8000 present
value to grow to $12,000 in five periods.
Rate(10000, 0.25 * 5000, 4 * 12)
0.04427378243
(or 4.43%),
which is the interest rate per month needed for the present value
to grow to $10,000 in four years.
Rate(Target_Value, Pres_Value[*], Term * 12)
This example uses variables in place of
actual numeric values or expressions.
