### Question
What is the definition of annual percentage yield?


### Answer
The definition of **annual percentage yield** is as follows in *12 U.S.C. § 4313*:

> the total amount of interest that would be received on a $100 deposit, based on the annual rate of simple interest and the frequency of compounding for a 365-day period, expressed as a percentage calculated by a method which shall be prescribed by the Board in regulations

#### Citation:
  - *12 U.S.C. § 4313*
  - Heading: **CHAPTER 44-TRUTH IN SAVINGS**

