INTRATE Function Explained
The INTRATE Function in Microsoft Excel calculates the interest rate for a fully invested security. It takes the following arguments: settlement, maturity, investment, redemption, and basis. The settlement and maturity arguments are dates that represent the security’s purchase and sale dates, respectively. The investment argument is the amount invested in the security. The redemption argument is the amount received when the security is sold. The basis argument is the type of day count basis to use. The function returns the interest rate for the security.
INTRATE Function Syntax
INTRATE(settlement, maturity, investment, redemption, [basis])
- settlement: The security’s settlement date. The security settlement date is the date after the issue date when the security is traded to the buyer.
- maturity: The security’s maturity date. The maturity date is the date when the security expires.
- investment: The amount invested in the security.
- redemption: The amount to be received at maturity.
- basis: The type of day count basis to use. The default is 0 (or omitted), which is the US (NASD) 30/360 day count basis.