nominal-real-convertible: Functions to switch from nominal / effective / convertible...

In lifecontingencies: Financial and Actuarial Mathematics for Life Contingencies

Functions to switch from nominal / effective / convertible rates

Description

Functions to switch from nominal / effective / convertible rates

Usage

nominal2Real(i, k = 1, type = "interest")

convertible2Effective(i, k = 1, type = "interest")

real2Nominal(i, k = 1, type = "interest")

effective2Convertible(i, k = 1, type = "interest")

Arguments

i	The rate to be converted.
k	The original / target compounting frequency.
type	Either "interest" (default) or "nominal".

Details

effective2Convertible and convertible2Effective wrap the other two functions.

Value

A numeric value.

Note

Convertible rates are synonims of nominal rates

References

Broverman, S.A., Mathematics of Investment and Credit (Fourth Edition), 2008, ACTEX Publications.

See Also

real2Nominal

Examples

#a nominal rate of 0.12 equates an APR of
nominal2Real(i=0.12, k = 12, "interest")

lifecontingencies documentation built on Sept. 30, 2024, 1:06 a.m.