Question
Asked Oct 26, 2019
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I f
Topic 2: Linear Equations
AT
9. A passbook savings account has a rate of 6%, Find the effective annual yie
if the interest is compounded daily. Assume 360 days in a year. (Round to
the nearest tenth of a percent, if necessary. For example, 20.5%)
n
0.06
360
=C1+9
- C 1
36C
-(t0.0a1 666) 360-1
. oo01 6666 360-1
3-1
360 1
1, o0ul
10
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I f Topic 2: Linear Equations AT 9. A passbook savings account has a rate of 6%, Find the effective annual yie if the interest is compounded daily. Assume 360 days in a year. (Round to the nearest tenth of a percent, if necessary. For example, 20.5%) n 0.06 360 =C1+9 - C 1 36C -(t0.0a1 666) 360-1 . oo01 6666 360-1 3-1 360 1 1, o0ul 10

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Expert Answer

Step 1

Calculate the effective ann...

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APR 1+. EAR = 360 6% 1+ 360 -1 (1+0.000166666666666667)* -1 =1.06183123796574-1 0.06183123796574 or 6.18%

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