average compond interest calculation (2000 SP3)

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I started off with $426 and six years later i have $652, how does one compute the annual rate of reture

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Say the number of years (6) is in A1, the $426 is in A2 and the $652 is in A3. The following formula will calculate the interest rate:
=RATE(A1,0,-A2,A3)
(you must put a minus sign in front of either the third or fourth argument)

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works great, but I fail to see the rational of the minus sign.

Richard

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Negative numbers represent amounts paid by you, positive numbers represent amounts received by you. From a financial viewpoint, you pay $426 (to the bank) and receive $652 back 6 years later. So the $426 must be negative. (Alternatively, you receive a loan of $426, and 6 years later pay back $652 = original amount plus compounded interest)

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