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Thread: Calculating Daily Interest Rate from APR
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    Default Calculating Daily Interest Rate from APR

    Question in the title really, is there an excel function to calculate a daily interest rate from an APR? The APR is compounded daily, maybe there is another way?

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    Default Re: Calculating Daily Interest Rate from APR

    You after something like the following:
    Sheet1

     HI
    510%Effective rate (APR)
    60.0261%Daily rate
    79.5323%Nominal Daily Rate
    8  
    9Proof 
    10100Initial Investment - for 1 year
    11110Payment at maturity

    Spreadsheet Formulas
    CellFormula
    H6=(1+H5)^(1/365)-1
    H7=H6*365
    H11=H10*(1+H6)^365
    Richard Schollar

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    Default Re: Calculating Daily Interest Rate from APR

    How come you don't multiply H6 by 100 like you do in the APR formula?
    Last edited by Rams_; Jan 29th, 2008 at 08:51 AM.

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    Default Re: Calculating Daily Interest Rate from APR

    It's already a percentage so need to multiply it by 100. Maybe I misunderstood your question?
    Richard Schollar

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    Default Re: Calculating Daily Interest Rate from APR

    Because the cell is formatted as % so you don't need to scale it with 100.

    Another question though, the amount of days in a year, 365, do interest rates include holydays etc?

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