If a mortgage is advertised with a 3.65% APR, compounded monthly, what is the APY on this mortgage?
APY =[1 + 3.65%/12]^12
APY =[1 + 0.0365/12]^12
APY =[1.00304166667]^12
APY =1.0371168481 - 1
APY =0.0371168481 x 100
APY =3.71%
