Chapter 9: Net Present Value and other Investment Criteria
Chapters 5 & 6: Nominal Rates, Compounding, and the Effective Annual Rate. Your calculator has a set of routines to compute EAR given the nominal interest rate, r, and the frequency of compounding, m. Define: NOM: the nominal interest rate or the APR. C/Y the frequency of compounding per year. EFF: the effective annual rate or EAR. ................
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