Formulas and Functions

Chapter 6 Financial Functions 12 9
Initial
Deposit
Year 1 Year 2 Year 3 Year 4 Year 5 Sales
proceeds
=MIRR
(B2:H2, 0.09,
0.0425)
-50000 -25000 -10000 0 10000 30000 100000
Example 2
Assume the same information as in Example 1, but rather than placing the cash ows in individual
cells, you specify the cash ows as an array constant. The MIRR function would then be as follows:
=MIRR({-50000, -25000, -10000, 0, 10000, 30000, 100000}, 0.09, 0.0425) returns approximately 9.75%.
Related Topics
For related functions and additional information, see:
“IRR” on page 12 5
“NPV” on page 13 2
“PV” on page 141
“Choosing Which Time Value of Money Function to Use” on page 348
“Common Arguments Used in Financial Functions” on page 341
“Listing of Financial Functions” on page 96
“Value Types” on page 36
“The Elements of Formulas” on page 15
“Using the Keyboard and Mouse to Create and Edit Formulas” on page 26
“Pasting from Examples in Help” on page 41
NOMINAL
The NOMINAL function returns the nominal annual interest rate from the eective
annual interest rate based on the number of compounding periods per year.
NOMINAL(eective-int-rate, num-periods-year)
 eective-int-rate:The eective interest rate of a security. eective-int-rate is a
number value and is either entered as a decimal (for example, 0.08) or with a
percent sign (for example, 8%).
 num-periods-year: The number of compounding periods per year. num-periods-
year is a number value and must be greater than 0.