Time Value of Money: Comparing Interest Rates same, then you I use the APR for comparison. If the securities have different compounding periods, then the i must be used for comparison.

Here, $M$ is the number of compounding periods per year and $\frac{I_{\text{N}\text{O}\text{M}}}{M}$ is equal to the periodic rate $($IPER$).$ If a loan or investment uses compounding, then the nominal interest rate is also its effective annual rate. However, if compounding occurs more than once a year, EAR is INOM. ${?}^{NO}$ three decimal places.

$\%$