Interest Rate Conversions; Finite Compounding; Continuous Compounding; Statistics - HP 0012C-90001 User Manual

Interest Rate Conversions

Interest Rat Interest Rat Interest Rat e Conversions e Conversions e Conversions
C
= number of compounding periods per year.
EFF
= the effective annual interest rate as a decimal.
NOM
= the nominal annual interest rate as a decimal.

Finite Compounding

Finite Compounding Finite Compounding Finite Compounding
 NOM
EFF  

1
C


Continuous Compounding

Continuous Compounding
Continuous Compounding Continuous Compounding
NOM
 
EFF e
( ) 1

Statistics

Statistics Statistics Statistics

Mean

Mean
Mean Mean

x
 
x y
n

Weighted Mean

Weighted Mean
Weighted Mean Weighted Mean

wx

x
w

w

Linear Estimation

Linear Estimation Linear Estimation Linear Estimation
n
= number of data pairs
ˆ  
y A Bx

y A
ˆ
x 
B

xy

B
where

x
 
A y x B
C



1


y
n
 

x y

n
 
2

x
2

n
Appendix D: Formulas Used Appendix D: Formulas Used
Appendix D: Appendix D: Formulas Used Formulas Used
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