Long description

A B
1 Interest Rate Conversion Nominal vs. Effective Annual Rate
2 Nominal annual rate of interest 8 percent
3 Compounding frequency − semiannual 2
4 Effective annual rate of interest 8.16 percent
5 Nominal annual rate of interest 8 percent
6 Compounding frequency − quarterly 4
7 Effective annual rate of interest 8.24 percent

Entry in Cell B4 is equal to sign EFFECT(B2,B3).

Entry in Cell B5 is equal to sign NOMINAL(B7,B6).

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