The Rate in a PMT Function Is

question 92

Multiple Choice

The rate in a PMT function is:

• A)the periodic interest rate,such as a monthly interest rate.
• B)the total number of payment rate periods.
• C)a word or a string of characters that represent one or more cells.
• D)the rate of present value of a loan.

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Definitions:

Fraction

A fractional amount that signifies a portion of a whole, distinct from an integer.

Decimal Equivalent

A decimal number that represents the same value as a given fraction or percentage.

Percent Equivalent

The fractional amount expressed as a part of one hundred.

Compound Interest

This form of interest computation involves calculating interest on both the initial principal amount and any interest that has accrued in the past periods on a loan or deposit.