Reviewed by: David Chen, CFA
David Chen is a Certified Financial Analyst with over 10 years of experience in finance, offering expert advice on financial planning.
David Chen is a Certified Financial Analyst with over 10 years of experience in finance, offering expert advice on financial planning.
Use this Interest Rate APR Calculator to compute the missing variable when you have three of the four necessary inputs.
Interest Rate APR Calculator
Interest Rate APR Calculator Formula
F = P × (1 + (V / 100)) ^ Q
Formula Source: Investopedia
Variables:
- F: Future Value
- P: Present Value
- V: Interest Rate
- Q: Number of Periods
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What is Interest Rate APR?
The APR (Annual Percentage Rate) is the total cost of borrowing expressed as a yearly interest rate, which includes interest and other associated fees.
How to Calculate Interest Rate APR (Example)
- Enter the present value (P), future value (F), interest rate (V), and number of periods (Q).
- Click “Calculate” to see the missing value.
- Review the detailed calculation steps and the resulting output.
Frequently Asked Questions (FAQ)
What is APR? APR is a measure of the cost of borrowing expressed as a yearly rate.
How is APR different from interest rate? APR includes both the interest rate and other fees, while the interest rate refers only to the cost of borrowing.
Can APR be negative? No, APR cannot be negative as it represents a cost.