NOMINAL(effect_rate, npery)

Returns the nominal interest rate over a period given an annual interest rate.

effect_rateThe effective (or annual) interest rate for the year.
nperyThe number of compounding periods per year.

Remarks

* This function is closely related to the EFFECT function.
* A nominal interest rate is an interest rate that is compounded over a specific period (yearly, monthly, daily, etc).
* The Nominal Rate is also known as Stated Rate.
* If any of the arguments are not numeric, then #VALUE! is returned.
* The "effect_rate" can either be entered with a percentage sign or as a decimal.
* If "effect_rate" = 0, then #NUM! is returned.
* If "npery" is not an integer, it is truncated.
* If "npery" < 1, then #NUM! is returned.
* In the context of bonds, the coupons are examples of nominal interest rates.
* For an illustrated example refer to the Interest Rates > Nominal Interest page.
* In Excel 2007 the accuracy of this function was improved.
* In Excel 2003 this function was only available when you had the Analysis ToolPak add-in loaded.
* For the Microsoft documentation refer to support.office.com

 A
1=NOMINAL(5/100,1) = 5.000%
2=NOMINAL(5%,1) = 5.000%
3=NOMINAL(5.062%,2) = 5.000%
4=NOMINAL(5.116%,12) = 5.000%
5=NOMINAL(5.127%,365) = 5.000%
6=NOMINAL(15/100,-1) = #NUM!
7=NOMINAL("some text",2) = #VALUE!
8=NOMINAL(5%,"some text") = #VALUE!

1 - If you have an effective interest rate of 5%, what is the nominal interest rate compounded yearly.
2 - This is the same as 1.
3 - If you have an effective interest rate of 5.062%, what is the nominal interest rate compounded semi-annually.
4 - If you have an effective interest rate of 5.116%, what is the nominal interest rate compounded monthly.
5 - If you have an effective interest rate of 5.127%, what is the nominal interest rate compounded daily.
6 - negative npery
7 - what if "effect_rate" is not numeric.
8 - what if "npery" is not numeric

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