to compute interest rate from principal and interest amount

[PVJ]

Principal amount $100
interest amount $2
i need to repay $102 in 24 instalments
i want the function in excel to compute the interest rate for the computing
the interest rate one month so that the principal plus the interest for 24
months cumulates to $102

 

[Niek Otten]

=RATE(24,102/24,-100,102)

 

[Jim Cone]

PVJ,

Loan: $100
Interest rate: 1.91 %
Term: 2 years
Payments per year: 12
Number of payments: 24
Payment at end of period.
Payment: $4.25
Total payments: $102

See my free Excel add-in "Calculate Payments".
Provide any 3 and the fourth is calculated...
amount, interest rate, term, payment.
One click transfer to the worksheet.
http://www.realezsites.com/bus/primitivesoftware

Jim Cone
San Francisco, USA


"PVJ" <[email protected]>
wrote in message
Principal amount $100
interest amount $2
i need to repay $102 in 24 instalments
i want the function in excel to compute the interest rate for the computing
the interest rate one month so that the principal plus the interest for 24
months cumulates to $102

 

[David12345]

try

=RATE(24,-102/24,100,0,1)