WorksheetFunction.Effect (Excel)

Returns the effective annual interest rate, given the nominal annual interest rate and the number of compounding periods per year.

Npery is truncated to an integer. If either argument is nonnumeric, Effect returns the #VALUE! error value. If nominal_rate ≤ 0 or if npery < 1, Effect returns the #NUM! error value. Effect is calculated as follows:

Effect (Arg1, Arg2)

Dim dblEffect As Double
dblEffect = WorksheetFunction.Effect(Arg1:=, Arg2:=)

Arguments

Arg1 - Nominal_rate - the nominal interest rate

Arg2 - Npery - the number of compounding periods per year