Although the bulk of Excel’s financial functions are for professional financiers and investors, a few functions are useful for anyone planning to use a loan to purchase a car or house. The examples in this chapter represent a small subset of the calculations possible with Excel’s financial functions.
Excel 2013 adds two new financial functions:
• PDURATION—Calculates how many periods it will take for an investment to reach a certain value given a specific interest rate.
• RRI—Calculates the equivalent rate for the growth of an investment. You can enter the beginning value, the value now, and how many years have gone by, and the function will calculate the average annual interest rate you earned.
Eight other ...