Enter the total short fee ($) and the total insurance value ($) into the Short Rate Calculator. The calculator will evaluate the Short Rate.

## Short Rate Formula

The following two example problems outline the steps and information needed to calculate the Short Rate.

SHO = SF / IV * 100
• Where SHO is the Short Rate (%)
• SF is the total short fee ($) • IV is the total insurance value ($)

To calculate the short rate, divide the short fee by the insurance value.

## How to Calculate Short Rate?

The following example problems outline how to calculate Short Rate.

Example Problem #1:

1. First, determine the total short fee ($). • The total short fee ($) is given as: 500.
2. Next, determine the total insurance value ($). • The total insurance value ($) is provided as: 10,000.
3. Finally, calculate the Short Rate using the equation above:

SHO = SF / IV * 100

The values provided above are inserted into the equation below and computed.

SHO = 500 / 10,000 * 100 = 5.00 (%)

Example Problem #2:

For this problem, the variables required are provided below:

total short fee ($) = 600 total insurance value ($) = 5,000

Test your knowledge using the equation and check your answer with the calculator..

SHO = SF / IV * 100 = ?