TERM

Syntax: TERM(P, R, FV)

P = amount of periodic payments
R = interest rate
FV = future value of the investment

TERM returns the number of payment periods for an investment given the periodic payment P, the interest rate R and future value FV. The function is given by:

$$\frac{\log ( 1 + ( {\it FV} \frac{R}{P} ))}{\log (1 + R)}$$

Examples:

TERM(1050, 0.105, 300000) = 34.39

TERM(R13, RATE, S19) = 16.48, where R13 = 360, S19 = 15000, and RATE is a named cell = 11%

TERM(100, 0.095, -1) = error!, ``P'' and ``FV'' must have the same sign

Excel function: N/A