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## Math.Rate

Returns the interest rate per period of an annuity.

Component | Version | macOS | Windows | Linux | Server | iOS SDK |

Math | 14.5 | ✅ Yes | ✅ Yes | ✅ Yes | ✅ Yes | ✅ Yes |

MBS( "Math.Rate"; Nper; pmt; pv { ; fv; type; guess } ) More

### Parameters

Parameter | Description | Example | Flags |
---|---|---|---|

Nper | The total number of payment periods in an annuity. | ||

pmt | The payment made each period and cannot change over the life of the annuity. Typically, pmt includes principal and interest but no other fees or taxes. If pmt is omitted, you must include the fv argument. |
||

pv | The present value — the total amount that a series of future payments is worth now. | ||

fv | The future value, or a cash balance you want to attain after the last payment is made. If fv is omitted, it is assumed to be 0 (the future value of a loan, for example, is 0). If fv is omitted, you must include the pmt argument. |
Optional | |

type | The number 0 or 1 and indicates when payments are due. 0 or omitted: At the end of the period 1: At the beginning of the period |
Optional | |

guess | Your guess for what the rate will be. * If you omit guess, it is assumed to be 10 percent. * If RATE does not converge, try different values for guess. RATE usually converges if guess is between 0 and 1. |
Optional |

### Result

Returns OK or error.

### Description

Returns the interest rate per period of an annuity.Should be same as Rate() function in Excel.

RATE is calculated by iteration and can have zero or more solutions. If the successive results of RATE do not converge to within 0.0000001 after 20 iterations, RATE returns an error.

See also:

https://support.microsoft.com/en-us/office/rate-function-9f665657-4a7e-4bb7-a030-83fc59e748ce

### Examples

Do a test calculation:

Set Variable [ $LoanAmount ; Value: 8000 ]

Set Variable [ $MonthlyPaymentAmount ; Value: 152,5 ]

Set Variable [ $NumberOfYears ; Value: 5 ]

Set Variable [ $NumberOfPeriods ; Value: 60 ]

Set Variable [ $PaymentPeriodsPerYear ; Value: 12 ]

Set Variable [ $Rate ; Value: MBS("Math.Rate"; $NumberOfPeriods; -$MonthlyPaymentAmount; $LoanAmount) ]

Set Variable [ $Rate ; Value: Round ( $Rate * 100; 2 ) ]

Show Custom Dialog [ "Rate" ; "Monthly: " & $Rate & "%" // shows .45% & ¶ & "Annually: " & ($Rate * $PaymentPeriodsPerYear) & "%" ]

### Release notes

**Version 14.5**- Added Math.Rate function.

### Blog Entries

This function checks for a license.

Created 9th October 2024, last changed 9th October 2024