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Solution 11247: Interest Conversions on the BA II PLUS™ and the BA II PLUS™ PROFESSIONAL.

How can I convert from nominal interest rate to effective interest rate on the BA II PLUS or BA II PLUS PROFESSIONAL? 

To convert a nominal rate to an annual effective rate, use the Interest Conversion worksheet. Follow the example below to convert the interest: 

A bank is offering a certificate that pays a nominal interest rate of 15% with quarterly compounding. What is the annual effective rate?

• Press [2ND] [ICONV].
• Press [2ND] [CLR WORK].
• Press [1] [5] [ENTER].
• Press [↓] [↓] [4] [ENTER].
• Press [↑] [CPT].

For more information please check the BAII PLUS family guidebooks.