RRI

  • Updated

Computes the rate needed for an investment to reach a specific value within a specific number of periods.

Sample Usage

RRI(1,10,0)
RRI(12,1000,1100)

 

Syntax

RRI(total_periods, present_value, [future_value])

  • total_periods - The total number of payment periods in which the investment can grow.
  • present_value - The present value of the investment.
  • future_value - [OPTIONAL] The desired future value of the investment.

 

Examples

RRI(1,10,0) returns -1, the equivalent interest rate for the growth of the investment from 10 to 0 over 1 period.
RRI(12,1000,1100) returns an equivalent interest rate for the growth of the investment from 1000 to 1100 over 96 periods.

Notes

  •  All values must be positive. total_periods and present_value must be greater than 0.
  • If future_value is 0, the rate returned is -1.