How to Calculate Nominal Interest Rate?
Nominal Interest Rate calculator uses nominal_interest_rate = Compounding Periods*((1+Effective Interest Rate)^(1/Compounding Periods)-1) to calculate the Nominal Interest Rate or Stated Rate, The nominal interest rate refers to the interest rate before taking inflation into account. Nominal Interest Rate or Stated Rate and is denoted by i symbol.
How to calculate Nominal Interest Rate using this online calculator? To use this online calculator for Nominal Interest Rate, enter Compounding Periods (n) and Effective Interest Rate (EAR) and hit the calculate button. Here is how the Nominal Interest Rate calculation can be explained with given input values -> 2.14814 = 10*((1+6)^(1/10)-1).