Financial Functions

Predefined formulas that perform common business calculations, and which typically involve a period of time such as months or years.

Interest

The amount charged for the use of borrowed money.

Rate

In the Excel PMT function, the term used to indicate the interest rate for a loan.

Present value (Pv)

The total amount that a series of future payments is worth now.

Principal

Another term for present value.

Nper

The abbreviation for number of time periods in various Excel functions.

Future value (Fv)

The value at the end of the time periods in an Excel function; the cash balance you want to attain after the last payment is made-- usually zero for loans.

Arguments

The values that an Excel function uses to perform calculations or operations.

PMT function

An Excel function that calculates the payment for a loan based on constant payments and at a constant interest rate.

Type argument

An optional argument in the PMT function that assumes that the payment will be made at the end of each time period.

What-if analysis

The process of changing the values in cells to see how those changes affect the outcome of formulas in the worksheet.

Goal Seek

One of Excel's What-if Analysis tools that provides a method to find a specific value for a cell by adjusting the value of one other cell-- you can find the right input when you know the result you want.

Data table

A range of cells that shows how changing certain values in your formulas affects the results of those formulas, and which makes it easy to calculate multiple versions in one operation.

One-variable data table

A data table that changes the value in only one cell.

Two-variable data table

A data table that changes the values in two cells.

Years

Loans are typically made for a period of:

Zero

The future value at the end of a loan is typically:

Name

A word or string of characters that represents a cell, a range of cells, a formula, or a constant value is a defined:

0

In the Cell Styles gallery, the Currency [0] style and the Comma [0] style format the selected cell with how many decimal places?

Cell reference

When you use a defined name in a formula, the result is the same as if you typed a:

Lookup functions

A group of Excel functions that look up a value in a defined range of cells located in another part of the workbook to find a corresponding value is referred to as:

VLOOKUP function

An Excel function that looks up values that are displayed vertically in a column is the:

Array

A defined range of cells, arranged in a column or row, used in a VLOOKUP or HLOOKUP function, is called a table:

Ascending order

When creating a VLOOKUP or an HLOOKUP function, the one requirement is that the data in the table array is sorted in:

Validation list

A list of values that are acceptable for a group of cells is a: