Need Help - Effective rate on Lease payments

[ORTexan]

Need help here...have sketchy data so far, but what is:

Value of Lease: $1M
Payments: $31k/month with a deposit paid up front.
Term: 36 months.

How would I get to an effective interest rate?

 

[Andrew Poulsom]

Have a look at the RATE function in Excel Help.

 

[ORTexan]

D'oh, yes, that was easy. On wrinkle on this is that there is a downpayment up front, and then the last payment and a half are absorbed by it. Probably a relatively minor impact on the rate calc though.