Effective Rate

Business, Legal & Accounting Glossary

  1. Home
  2. Glossary
  3. Define: Effective Rate

Definition: Effective Rate

Effective Rate
Cite Term
Sources

Full Definition of Effective Rate

The yield on a debt as calculated from the purchase price. A more accurate measure of the return on a bond investment than the simple coupon payment. Computed using both the capital gain from price appreciation and the bond’s yield.

Cite Term

To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/effective-rate/
Modern Language Association (MLA):
Effective Rate. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
April 24, 2024 https://payrollheaven.com/define/effective-rate/.
Chicago Manual of Style (CMS):
Effective Rate. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/effective-rate/ (accessed: April 24, 2024).
American Psychological Association (APA):
Effective Rate. PayrollHeaven.com. Retrieved April 24, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/effective-rate/

Definition Sources

Definitions for Effective Rate are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.