Related Function:

The NOMINAL function returns the nominal annual interest rate, given the effective rate and the number of compounding periods per year. 

Syntax

=NOMINAL(effect_rate,npery)

Arguments

Argument Description
effect_rate The effective interest rate
npery The number of compounding periods per year

Examples

  A B C D
1 Data      
2 5.3543% Effective interest rate    
3 4 Number of compounding periods per year    
4        
5   Formula Result Notes
6   =NOMINAL(A2,A3) 5.25% Nominal interest rate with the terms above

Common Function Error(s)

Problem What went wrong
#VALUE! Occurs if either of the supplied arguments cannot be recognized as a number
#NUM! Occurs if the supplied effect_rate argument is ≤ 0 or the supplied npery argument is < 1
#NAME? Occurs when Analysis ToolPak add-in is not enabled
Result is presented as a decimal or 0% Likely to be due to the formatting of the cell containing the function and can be fixed by formatting the cell as a percentage, with decimal places