Question 1179718
Here's how to calculate the Annual Percentage Yield (APY) for the CD:

**Understanding APR and APY**

* **APR (Annual Percentage Rate):** The stated annual interest rate.
* **APY (Annual Percentage Yield):** The actual annual rate of return, taking into account the effect of compounding.

**Formula**

The formula to calculate APY is:

APY = (1 + (APR / n))^n - 1

Where:

* APR is the annual percentage rate (as a decimal).
* n is the number of compounding periods per year.

**Calculation**

1.  **Convert APR to decimal:** 5.53% = 0.0553
2.  **Plug in the values:**
    * APY = (1 + (0.0553 / 4))^4 - 1
    * APY = (1 + 0.013825)^4 - 1
    * APY = (1.013825)^4 - 1
    * APY ≈ 1.0565 - 1
    * APY ≈ 0.0565
3.  **Convert to percentage:** 0.0565 * 100% = 5.65%

**Answer**

The APY for the CD is 5.65%.