Excel Video 145 wraps up our discussion of financial functions in Excel. There are many, many more financial functions out there, but these are the basics a medical practice manager might find helpful. The RATE function is very similar to the PMT function we’ve already discussed. Use RATE when you have the number of payments, the amount of those payments, and the present (initial) value and you need to know the interest rate.
You might also find FV helpful to calculate the future value of an investment. If you know the amount and frequency of payments and an interest rate, you can calculate how much an investment will be worth in the future. I’ll also show you how to use present value and future value together.
Stay tuned. Next time we’ll learn how to use IF.