Why doesnt simple Interest functions work for me, what am I doing wrong?
A loan of $14500, will be paid back in 12 monthly installments of $650, and then 12 monthly installments of $900.
What is the annual average rate?
I tried doing the first 12 payments
Quote:
=RATE(12,650,7000,0,0,0.1)
, but it just returns #NUM
I then tried doing a Net Present Value
Quote:
=NPV(0.4,650,650,650,650,650,650,650,650,650,650,6 50,650,900,900,900,900,900,900,900,900,900,900,900 ,900)
with an annual discount rate of 4,8%, but the result was $1635,32 ???
What am I doing wrong??