Monday

December 22, 2014

December 22, 2014

Posted by **Anonymous** on Friday, October 29, 2010 at 3:42pm.

- math -
**Henry**, Saturday, October 30, 2010 at 11:53pmAPY = (1 + r)^n - 1.

A. r = APR / 365 = rate per compounding

period expressed as a decimal.

n = 365 days=the number of compounding

periods.

APY = (1 + 0.00016438)^365 - 1,

= 1.061830 - 1 = 0.061830 = 6.183%

- math -
**Henry**, Monday, June 9, 2014 at 9:54pmCorrection:

P = Po(1+r)^n

A. Let Po = $1.00 @ 6% for 1 year.

r = (6%/12)/100% = 0.005 = Monthly% rate

expressed as a decimal.

n = 1comp/mo. * 12mo. = 12 Compounding

periods.

P = 1(1.005)^12 = 1.06168.

I = P - Po = 1.06168 - 1.000 = $0.06168

APY = (I/Po)*100% = (0.06168/1.0)*100% =

6.168%.

B. P = Po*e^(rt)

r = (4%/100% = 0.04 = APR expressed as a decimal.

t = 1 yr.

rt = 0.04/yr. * 1yr = 0.04

P = 1.0*e^0.04 = $1.04081

I = 1.04081 - 1.00 = $0.04081

APY = (I/Po)*100% = 0.04081/1.00)*100% =

4.081%

**Answer this Question**

**Related Questions**

Math - Can someone please double check my answers. 1. What pattern does the ...

math - Can someone please double check my answers. 1. What pattern does the ...

math - find the accumulated value of an investment of $10000 for 5 years at an ...

Math - Which of the following options has the highest APY: a 6.25% APR ...

math - If you deposit $10,000 in a savings account now, what interest rate ...

Math - Marisol invested $48,000 in an 18 month CD with a 4.28% APY compounded ...

math modeling - Suppose that you invested $1,442 at the annual rate of 4.60% ...

Math - find the accumulated value of an investment of 20,000 for 3 years at an ...

math - find the accumulated value of an investment of 25,000 for 4 years at an ...

Calc - How much money will we have in 6 months if we invest $1000 into an ...