Loading ...
Loading ...
Loading ...
74 Other Worksheets
• To clear the NOM and EFF variables and reset default values without
affecting
C/Y, press &z in the Interest Conversion
worksheet.
Converting Variables
You can convert a nominal rate to an annual effective rate or vice versa.
Entering Values for Nom and EFF
Enter a value for NOM or EFF as an annual rate.
Converting Interest Rates
1. To access the Interest Conversion worksheet, press & v. The
current
NOM value appears.
2. To clear the worksheet, press &z.
3. Enter a value for the known interest rate (either
NOM or EFF).
4. To enter a value for a known variable, press # or " until
NOM or EFF
is displayed, key in a value, and press !.
5. Press # to display C/Y. If necessary, change the value and press !.
6. To compute a value for the unknown variable (interest rate), press #
or " until NOM or EFF is displayed, and then press ?. The calculator
displays the computed value.
Example: A bank offers a certificate that pays a nominal interest rate of
15% with quarterly compounding. What is the annual effective interest
rate?
Answer: A nominal interest rate of 15% compounded quarterly is
equivalent to an annual effective interest rate of 15.87%.
To Press Display
Select Interest Conversion
worksheet.
&v NOM= Current
value
Enter nominal interest rate.
15 ! NOM= 15.001
Enter number of compounding
periods per year.
##
4 ! C/Y= 4.001
Compute annual effective
interest rate.
"C EFF=
15.877
Loading ...
Loading ...
Loading ...