RATE

Summary

This function uses Newton-Raphson iteration and returns the per-period rate that satisfies the TVM equation.

Output is a rate per period; convert to annual terms externally if needed.
Cash-flow sign convention matters for convergence: use opposite signs for borrow/repay sides.
guess defaults to 0.1 and influences convergence speed and branch selection.
type = 0 means end-of-period payments; type != 0 means beginning-of-period payments.
Returns #NUM! on non-convergence, near-zero derivative, or unsatisfied numeric conditions.

Example

Grid

Cell	Value
No inputs on Sheet1.

Formula

Result

Not evaluated yet.

Expected

null

Example

Grid

Cell	Value
No inputs on Sheet1.

Formula

Result

Not evaluated yet.

Expected

null

RATE uses Newton-Raphson from guess (default 0.1); a poor starting point can lead to non-convergence and #NUM!.