How do I calculate with financial calculator the effective annual return rate for an endowment of 10 years tenure with yearly payment of $500 (for 10years) and illustrated yield of $70000 at maturity?

Nice explanation using a financial calculator like this online calculator tool makes IRR much easier to understand. It really shows how powerful compounding can be, even though such high returns are quite unrealistic in real scenarios .

Hi Financial Noob,

That'll be a yield of 1.17% based on your comments below.

You can use a yield calculator or contruct one in Excel with the IRR function.

You'll be basically measuring cashflow over a 10 year periods, with a periodic outflow of $6K/yr and an inflow of $64K at the end of the 10th year. Use 'IRR from Cashflow'