What is the formula for calculating the percent of interest earned?
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The general interest formula is Principal x Rate x Time, but there can be variables that influence your bank's interest payments such as whether they use a 360 or 365 day year, and this is different than the Annual Percentage Yield disclosed on bank statements where interest is earned. The Annual Percentage Yield calculations can be found on BankersOnline, here.
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The general interest formula is Principal x Rate x Time, but there can be variables that influence your bank's interest payments such as whether they use a 360 or 365 day year, and this is different than the Annual Percentage Yield disclosed on bank statements where interest is earned. The Annual Percentage Yield calculations can be found on BankersOnline, 