Returns the number of periods for an investment with a constant cash flow and interest rate given a present and future value.
Make sure that the rate corresponds to the number of payment periods. For a monthly payment period remember to divide an annual interest rate by 12 (months) to get a monthly interest rate. Enter cash paid out as negative values, and any cash received as positive values.
Syntax
NPER( rate, pmt, pv, {fv}, {atEnd} )
Arguments
rate The interest rate for the period of the investment. payment The amount paid each period. pv The present value of the investment. fv The future value of the investment (optional, default is 0). atEnd If TRUE payments take place at end of a payment period. (optional, default is TRUE.) Example
NPER(.08/12,-100,2000) = 21.54.
At $100.00 per month it takes 21.54 months to repay $2,000.00 at 8% interest.
NPER(.08/12,-100 0,2000) = 18.84.
At $100.00 per month in an 8% interest account, it takes 18.84 months to save $2,000.00.