One bank advertises an interest rate on a certificate of deposit (CD) to be 4 % compounded daily. Another bank advertises a CD with a 4.1% effective annual rate. The principal deposited is $ 1000 for this problem. At 4% compounded daily: F4= At a 4.1% effective annual rate: F4= In which CD would you earn the most money in 4 years? CD with given effective interest rate CD compounded daily at given interest rate

One bank advertises an interest rate on a certificate of deposit (CD) to be 4 % compounded daily. Another bank advertises a CD with a 4.1% effective annual rate. The principal deposited is $ 1000 for this problem. At 4% compounded daily: F4= At a 4.1% effective annual rate: F4= In which CD would you earn the most money in 4 years? CD with given effective interest rate CD compounded daily at given interest rate

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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