What is the formula to work out APY for asavings commentary?

details:
4.5% APY for hoard account
$2496 currently within account
interest is remunerated monthly

Answers:
APY = (1 + r/n )n – 1

r = the rate (expressed as a decimal, ie .045)
n = number of times it compounds during the year.

If you are basically looking to caculate it, you can find calculators online.

Ken Clark
Certified Financial Planner


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