What is the effective interest rate method
Calculate the effective annual interest rate or APY (annual percentage yield) from the nominal annual interest rate and the number of compounding periods per 17 Dec 2019 The effective interest method involves preparing a bond amortization schedule to calculate the interest expense based on the market rate at the 1 May 2018 Basic understanding of amortising upfront fees by factoring the same into interest expense by EIR method using Goal seek formula. 1.