The RRI function returns the interest rate needed for an investment to reach a specific value within a given number of periods.
Parts of a RRI function
RRI(number_of_periods, present_value, future_value)
| Part | Description |
number_of_periods |
Required. The number of periods. |
present_value |
Required. The present value of the investment |
future_value |
Required. The future value of the investment. |
Notes
- All values must be positive.
Number_of_periodsandpresent_valuemust be greater than 0. - If
future_valueis 0, the rate returned is -1 (-100%).
Examples
| RRI | Formula |
| -0.1083343751 | =RRI(10.5, 10, 3) |
| 0.2599210499 | =RRI(3, 2, 4) |
| -1 | =RRI(1, 10, 0) |
Related functions
- PDURATION: The PDURATION function returns the number of periods for an investment to reach a specific value at a given rate.