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Kuinka laskea APR to APY Converter

Mikä on APR to APY Converter?

APR (annual percentage rate) and APY (annual percentage yield) differ because APY accounts for compounding. APY is always higher and shows the true return on savings or cost of credit.

Kaava

APY = (1 + APR/n)ⁿ - 1, where n is compounding frequency per year

Vaiheittainen opas

  1. 1Enter APR as a decimal
  2. 2Select compounding frequency (daily, monthly, quarterly, annual)
  3. 3Calculate APY using the formula

Ratkaistut esimerkit

Syöte
APR = 5%, daily compounding
Tulos
APY ≈ 5.127%
(1 + 0.05/365)³⁶⁵ - 1

Yleisiä virheitä vältettäväksi

  • Treating APR and APY as equivalent
  • Wrong compounding frequency

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