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标题: getting a period rate [打印本页]

作者: BC_MBA_student    时间: 2011-7-13 15:17     标题: getting a period rate

When you are trying to calculate a period rate (For example, 120 days), when do you use powers and when do you just multiple by days over 360? I have seen it used both ways in the notes, and its really confusing me. Is there a reason, or is it just an approximation vs accuracy thing.

Example:

rfr = 4
t = 120 days

sometimes I see the calc as 0.04*(120/360) + 1

sometimes i see the calc as 1.04^(120/360)




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