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Approximations of Interest Rate Calculator

Enter 4 values and choose a method

<-- m
<-- n
<-- l
<-- APR
       

How does the Approximations of Interest Rate Calculator work?

Interest Rate Approximations: Approximates a yield rate of interest based on 4 methods:
1) Max Yield denoted as imax
2) Min Yield denoted as imin
3) Constant Ratio denoted as icr
4) Direct Ratio denoted as idr
This calculator has 4 inputs.

What 5 formulas are used for the Approximations of Interest Rate Calculator?

  1. v = 1/(1 + APR)
  2. imxy = (2 * m * k)/(L * (n + 1) - k * (n - 1))
  3. imny = (2 * m * k)/(L * (n + 1) + k * (n - 1))
  4. icr = 2 * m * k/L * (n + 1)
  5. icr = 2 * m * k/(L * (n + 1) - 1/3 * k * (n - 1))

For more math formulas, check out our Formula Dossier

What 6 concepts are covered in the Approximations of Interest Rate Calculator?

approximations of interest rate
interest
payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum, at a particular rate
maximum
the greatest or highest amount possible or attained
minimum
the least or lowest amount possible or attained
yield
How much an investment returns in terms of interest rate
yield
How much an investment returns in terms of interest rate