What Is Real Rate Of Return Formula? The real rate of return formula is the sum of one plus the nominal rate divided by the sum of one plus the inflation rate which then is subtracted by one. The formula for the real rate of return can be used to determine the effective return on
How Do You Calculate Real Rate Of Return On Inflation? The real rate of return formula is the sum of one plus the nominal rate divided by the sum of one plus the inflation rate which then is subtracted by one. The formula for the real rate of return can be used to determine the
How Do You Calculate Real Rate Of Return After Inflation? When calculating the real rate of return, follow these steps: Take the difference between the nominal rate and the inflation rate as a WHOLE number, then divide by 1 plus the inflation rate as expressed as a decimal. Does the real rate of return include