I have been taking an Excel class that I thought was for beginners, but in 5 weeks I have covered an entire book. Most functions I can work through but the financial problems are causing me major problems. I would appreciate any help in helping me understand which time value of money to use.
First question:
I would like to have $1,000,000 in ten years. I have $700,000 now in an account. I want to withdraw a $100,000 each year at the beginning of each year. What annual interest rate would we need to achieve our goal. I tried using Rate, but I am just not understanding this. This is the formula I used =RATE(10,100000,-700000,10000000,0) and the answer I got was 37%. I suck at math and this isn't helping me. Thank you for anyone who can assist me.
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