Does anyone know how to figure the interest on a CD at
the bank when the interests are compounded daily each
month? Our bank uses the rule of 365 days in a year rule.
My father-in-law wants to know how much he will get each
month. It appears to me that formula is needed for each a
day of the month. But I do not understand how the banks
could you tell you but it is so hard for you to do it.
There must be an easier way of doing it in Excel 2002 is
what I have.

Tom

ColC ColD ColE ColF
Rate 6.0% DailyRate 0.000164384
PurchDate 12/1/2004
Principle 100,000.00

Date Principle Int EndBal
1/1/2005 100,000.00 509.59 100,509.59
2/1/2005 100,509.59 512.19 101,021.77
=+(C7-C6)*$F$1*D7
=+F6 =+D7+E7
Little hard to read, but I tried to get the formulas below the columns.

"Tom in Bayonne" wrote:

Does anyone know how to figure the interest on a CD at
the bank when the interests are compounded daily each
month? Our bank uses the rule of 365 days in a year rule.
My father-in-law wants to know how much he will get each
month. It appears to me that formula is needed for each a
day of the month. But I do not understand how the banks
could you tell you but it is so hard for you to do it.
There must be an easier way of doing it in Excel 2002 is
what I have.

Tom

try this idea
DailyInterestRate = (1+YearInterestRate)^(1/365) - 1
1+(annualinterest/12)^(12/365) - 1
--
Don Guillett
SalesAid Software

"Tom in Bayonne" wrote in message
...
Does anyone know how to figure the interest on a CD at
the bank when the interests are compounded daily each
month? Our bank uses the rule of 365 days in a year rule.
My father-in-law wants to know how much he will get each
month. It appears to me that formula is needed for each a
day of the month. But I do not understand how the banks
could you tell you but it is so hard for you to do it.
There must be an easier way of doing it in Excel 2002 is
what I have.

Tom

Don Thanks for getting back to on this but I'm not quite
following you on this. Is this companded daily too. Would
you have time to e-mail me at my e-mail address

Thanks for your help.
Tom
-----Original Message-----
try this idea
DailyInterestRate = (1+YearInterestRate)^(1/365) - 1
1+(annualinterest/12)^(12/365) - 1
--
Don Guillett
SalesAid Software

"Tom in Bayonne"
wrote in message
...
Does anyone know how to figure the interest on a CD at
the bank when the interests are compounded daily each
month? Our bank uses the rule of 365 days in a year
rule.
My father-in-law wants to know how much he will get
each
month. It appears to me that formula is needed for
each a
day of the month. But I do not understand how the banks
could you tell you but it is so hard for you to do it.
There must be an easier way of doing it in Excel 2002
is
what I have.

Tom



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