The answer depends on what information is provided.If you have initial value (Y0), final value (Yn) and number of years (n) then the annual percentage rate is
100*[(yn/y0)^(1/n) - 1] where raising to the power 1/n is finding the nth root.
If not compounded monthly, a monthly interest rate is simply 1/12 of the annual rate. Things do get complicated, though if the interest is compounded monthly. An annual interest rate of R% is equivalent to a monthly rate of 100*[(1 + R/100)^(1/12) - 1] %
=((End Value/Beginning Value) ^ (1/# of intervening years)) - 1 what is mean by this sign ^ otherwise let clarify particular formula
The effective annual rate for a credit card that carries a 9.9% annual percentage rate (compounded daily) is 10.4%.
I suspect that it will be 6.3!
It is 0.833... recurring % if the interest is simple, or compounded annually. If compounded monthly, it is approx 0.797 %
If not compounded monthly, a monthly interest rate is simply 1/12 of the annual rate. Things do get complicated, though if the interest is compounded monthly. An annual interest rate of R% is equivalent to a monthly rate of 100*[(1 + R/100)^(1/12) - 1] %
=((End Value/Beginning Value) ^ (1/# of intervening years)) - 1 what is mean by this sign ^ otherwise let clarify particular formula
The effective annual rate for a credit card that carries a 9.9% annual percentage rate (compounded daily) is 10.4%.
I suspect that it will be 6.3!
On monthly compounding, the monthly rate is one twelfth of the annual rate. Example if it is 6% annual, compounded monthly, that is 0.5% per month.
3
It is 0.833... recurring % if the interest is simple, or compounded annually. If compounded monthly, it is approx 0.797 %
The true annual rate of charged interest is called the annual percentage yield. It is the interest charged and compounded against.
It is 14.9 percent.
6.485% (rounded)
Depends on the daily percentage rate.
To calculate the monthly interest rate from an annual interest rate, divide the annual rate by 12. This will give you the monthly interest rate.