Annual Percentage Rate

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Related to Annual rate of return: Average Annual Rate of Return

Annual Percentage Rate

The actual cost of borrowing money, expressed in the form of a yearly measure to allow consumers to compare the cost of borrowing money among several lenders.

The Federal Truth-in-Lending Act (15 U.S.C.A. § 1601 et seq. [1968]) mandates the complete disclosure of this rate in addition to other credit terms.

Cross-references

Truth in Lending Act.

References in periodicals archive ?
1] Pesando (1993), for example, constructed a price index of modem prints over 1977 to 1992 and estimated that the average real annual rate of return on an aggregate print portfolio was only 1.
The financial concepts include: stock market indices, rates of return, beta coefficient, the capital asset pricing model, expectations, annual percentage rate, effective annual rate of return, geometric mean and sensitivity analysis.
Siegel reports that, for roughly the past 200 years, the average annual rate of return in the stock market has been more than 10%.
Like calls to your broker and any costs related to the production of investment income, like the Price Waterhouse audit that found your overall average annual rate of return was a measly 9.
With stocks, however, that dollar could have soared to $1,406 over 71 years by having an average annual rate of return (ROR) of 12.
For example, a 20 year old and a 35 year old each invest $2,500 a year in an RSP and receive 10% as an annual rate of return.
Metapoint has parlayed this advantage into a 47 percent annual rate of return, Galante notes, adding, "An investor would be hard-put to get that return anywhere else in the market.
For example, American Research and Development's (ARD) $70,000 investment in Digital Equipment Corporation (DEC) grew to more than $500 million in about 12 years, which translates into a compounded annual rate of return of more than 100 percent.
The market-neutral fund seeks an average annual rate of return equal to the Treasury-bill yield plus 5 percent, net of all fees and with no negative years.
s,t and t+1] measures an average annual rate of return during the two calendar years t and t + 1.
This netted him a 37 percent annual rate of return after taxes, or about ten times better than what he could have gotten in a good money market account at current rates.
This assumes end-of-month contributions, 6% annual rate of return and 3% annual premium increase rate.

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