Using Excel Days360 function for financial analysis- guide

Days360 function: summary

the Days360 jobs In Excel used for Calculate the number of days Between two dates on the basis of a 360 days a year. This function is especially useful in financial analysis, as 12 months of 30 days (360 days) are used instead of actual evaluation days.

Note: Days360 function will come back #Value! Error, when there is a problem with your inputs or use unconventional start dates. You can fix this by providing a suitable time chain without any hidden letters.

Days360 function: building a sentence

=DAYS360(start_date, end_date, [method])

• Start_dateDate of the start of the period.
• ending_dateDate of the end of the period.
• road: This is it An optional argument. Logical value (TRUE or bloomerIt can be used to determine this.
  • TRUE: If you use the real method, this function uses the European method.
  • bloomer: If you use the wrong way, this function uses the United States (NASD) method.

Basic examples of the use of the Days360 function:

In the following example, I showed how to use Days360 The function with a different start and end dates. These examples cover A variety of common scenariosHelping you understand how the job works in different cases.

Formula Used :=DAYS360(B4, C4)

The detailed interpretation of the above examples is:

• For the first:
  • Although February only 28 days (or 29 in a jump yearDAYS360 Each month has 30 days. So this is considered February 30 days And return the value 30.
• For the second one:
  • The dates given are a clean window for 6 months. Since every month is considered 30 days, mathematics are simple: 6 times 30 times 180 days.
• For the third:
  • You might expect 90, right? But because both Beginning and end dates Located late in Related monthsThe Excel slightly adjusts under the hood and restores the final value 89.
• For the fourth one:
  • The date of start and the date of completion Exactly 9 monthsWith days360, this is clear and direct: 9 times 30 times 270. Whether it is 31 or 28 days, DAYS360 is treated evenly (30 days) and thus restores the value of 270 days.
• For the fifth:
  • Less than two years, which will be 720 days in a perfect 360 -day orthodontic. But since the date of completion is short one day, this function in Excel restores the value as 719.
• For the sixth:
  • The start and end dates are almost to a whole year, but not completely; that it 1 short day From the year 360 days. Days360 picks up this small difference and restores the value as 359.
• For the seventh:
  • If you see this #Value! Error, your history may be coordinated as a text instead of the real date of excellence.

Examples of the use of the Days360 function with the real or wrong way:

In this example, Start date He is February 28, 2024 and The date of completion He is March 31, 2024.

If you use TRUE An argument in Days360 Formula, Excel applies European methodWhich is treated 31 in the thirty. Therefore, the date ranges from February 28 to March 31 Basem is treated February 28 to March 30Which led to 32 days.

If you use bloomer Or leave the brightly empty, applies Excel US methodWhere the logic of the expiry date is adjusted differently. In this case, February 28 to March 31 He treats as it is, and returns 33 days Based on The system system is 360 days.

This example should help you understand how the optional intermediate is in Days360 The job affects the result. It is not necessary to use the intermediary unless your account requires a specific way to solve the scenario.

That’s it. This article was originally published on: How to use Excel Days360?