This function returns the interest rate per period on annuity. The result has a default number format of Fix two decimals and %.
Rate(nper, pmt , pv [ ,fv [ , type ] ])
Return data type: numeric.
The rate is calculated by iteration and can have zero or more solutions. If the successive results of rate do not converge, a NULL value will be returned.
|nper||The total number of payment periods in an annuity.|
|The payment made each period. It cannot change over the life of the annuity. A payment is stated as a negative number, for example, -20.|
|The present value, or lump-sum amount, that a series of future payments is worth right now. If pv is omitted, it is assumed to be 0 (zero).|
|The future value, or cash balance, you want to attain after the last payment is made. If fv is omitted, it is assumed to be 0.|
|Should be 0 if payments are due at the end of the period and 1 if payments are due at the beginning of the period. If type is omitted, it is assumed to be 0.|
What is the interest rate of a five-year $10,000 annuity loan with monthly payments of $300?