Syntax: RATE(FV, PV, N)
FV = future value of the investment
PV = present value of the investment
N = number of periods
RATE returns the interest rate required to go from present value PV to future value FV in N compounding periods.
The formula used is:
Examples:
RATE(5000, 3000, 10) = .05
RATE(H8, G8, B6) = .149, where B6 = 5, G8 = $5,000.00, and H8 = $10,000.00
RATE(8700, -1000, 3) = Error - ``PV'' and ``FV'' must have the same sign
Excel function: N/A