Syntax
=EFFECT(nominal_rate, npery)Arguments
| Argument | Required | Description |
|---|---|---|
nominal_rate | Required | The nominal annual rate |
npery | Required | Compounding periods per year |
How to use EFFECT
EFFECT takes 2 required arguments. Type =EFFECT( in a cell and SheetsBat shows the arguments as you go. Optional arguments are shown in square brackets; leave them out to use their default.
Examples
Each result below was calculated by the SheetsBat formula engine.
=EFFECT(0.0525, 4)Result Related financial functions
- DISCReturns the discount rate of a security.
- DOLLARDEConverts a price written as a whole number and a fraction (like 1.02 meaning 1 and 2/16) to a decimal number.
- DOLLARFRConverts a decimal price to a whole number and a fraction written after the decimal point.
- DURATIONReturns the Macaulay duration in years of a security that pays periodic interest, for 100 face value.
- FVReturns the future value of an investment with constant payments and a constant rate.
- FVSCHEDULEReturns the future value of a principal after applying a series of interest rates.
- INTRATEReturns the interest rate of a fully invested security.
- IPMTReturns the interest part of one payment of a loan or investment.
- IRRReturns the internal rate of return of cash flows at regular periods.