Annual Percentage Yield Solution

STEP 0: Pre-Calculation Summary
Formula Used
Annual Percentage Yield = (1+(Stated annual interest rate/Compounding Periods))^Compounding Periods-1
APY = (1+(r/nc))^nc-1
This formula uses 3 Variables
Variables Used
Annual Percentage Yield - Annual Percentage Yield is a normalized representation of an interest rate, based on a compounding period of one year.
Stated annual interest rate - The stated annual interest rate is the return on an investment that is expressed as a per-year percentage.
Compounding Periods - Compounding Periods is the number of times compounding will occur during a period.
STEP 1: Convert Input(s) to Base Unit
Stated annual interest rate: 5 --> No Conversion Required
Compounding Periods: 10 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
APY = (1+(r/nc))^nc-1 --> (1+(5/10))^10-1
Evaluating ... ...
APY = 56.6650390625
STEP 3: Convert Result to Output's Unit
56.6650390625 --> No Conversion Required
FINAL ANSWER
56.6650390625 56.66504 <-- Annual Percentage Yield
(Calculation completed in 00.004 seconds)

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Annual Percentage Yield Formula

Annual Percentage Yield = (1+(Stated annual interest rate/Compounding Periods))^Compounding Periods-1
APY = (1+(r/nc))^nc-1

How to Calculate Annual Percentage Yield?

Annual Percentage Yield calculator uses Annual Percentage Yield = (1+(Stated annual interest rate/Compounding Periods))^Compounding Periods-1 to calculate the Annual Percentage Yield, Annual Percentage Yield is a normalized representation of an interest rate, based on a compounding period of one year. Annual Percentage Yield is denoted by APY symbol.

How to calculate Annual Percentage Yield using this online calculator? To use this online calculator for Annual Percentage Yield, enter Stated annual interest rate (r) & Compounding Periods (nc) and hit the calculate button. Here is how the Annual Percentage Yield calculation can be explained with given input values -> 56.66504 = (1+(5/10))^10-1.

FAQ

What is Annual Percentage Yield?
Annual Percentage Yield is a normalized representation of an interest rate, based on a compounding period of one year and is represented as APY = (1+(r/nc))^nc-1 or Annual Percentage Yield = (1+(Stated annual interest rate/Compounding Periods))^Compounding Periods-1. The stated annual interest rate is the return on an investment that is expressed as a per-year percentage & Compounding Periods is the number of times compounding will occur during a period.
How to calculate Annual Percentage Yield?
Annual Percentage Yield is a normalized representation of an interest rate, based on a compounding period of one year is calculated using Annual Percentage Yield = (1+(Stated annual interest rate/Compounding Periods))^Compounding Periods-1. To calculate Annual Percentage Yield, you need Stated annual interest rate (r) & Compounding Periods (nc). With our tool, you need to enter the respective value for Stated annual interest rate & Compounding Periods and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
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