Hi Marjory,

You can use the EFFECT() and NOMINAL() functions to convert from and to APR and daily rates
Look in HELP for details (and note the remark about a possible #NAME error)

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Kind regards,

Niek Otten
Microsoft MVP - Excel
Keep discussions in the newsgroups- no private emails please
"Marjory K" wrote in message ...
|I understand the Excel formula for calculating the future value of an annuity
| when the compounding period is the same as the deposit period, e.g., put
| money in monthly and also compound monthly. But I don't understand how to
| calculate how much the money will earn in the bank, because the bank
| compounds daily. The problem: $2000 invested annually over 25 years at 6%
| interest compounded daily equals how much future value? Another way to say
| this is, how do I calculate APR? If I could calculate the APR on 6%
| compounded daily, I could plug the APR into the Excel formula with an annual
| deposit and come out with the right answer.
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| Marjory K