Download  Print this page

Savings; Nominal Rate Converted To Effective Rate; Section 15: Savings - HP 12C Platinum User Manual

Financial calculator.
Hide thumbs

Advertisement

Nominal Rate Converted to Effective Rate

Given a nominal interest rate and the number of compounding periods per year,
this keystroke procedure computes the effective annual interest rate.
1. Press g and fCLEARG.
RPN Mode:
2. Key in the annual nominal rate as a percentage, then press \.
3. Key in the number of compounding periods per year, then press nz¼.
4. Press ÞPM to obtain the effective annual interest rate.
ALG Mode:
2. Key in the annual nominal rate as a percentage.
3. Press z. Key in the number of compounding periods per year, then
press ¼ÞP. Then key in the number of compounding periods per
year and press n.
4. Press M to obtain the effective annual interest rate.
Example 1: What is the effective annual interest rate if the annual nominal rate
of 5.25% is compounded quarterly ?
Keystrokes
Keystrokes
(RPN mode)
(ALG mode)
f]
f[
fCLEARG
fCLEARG
5.25\
5.25z
4nz¼
ÞPM
ÞP4nM
Section 15

Savings

Display
5.25
1.31
5.35
217
Nominal rate.
Percent quarterly interest
rate.
Percent effective interest
rate.

Advertisement

Table of Contents

   Also See for HP 12C Platinum

   Related Manuals for HP 12C Platinum

Comments to this Manuals

Symbols: 0
Latest comments: