bank customer saved 5000 PLN on the savings account. The deposit years. For the first 6 months continuous interest rate method was used 5% nominal interest rate, for the next 9 months compound interest rat as used, and during the last months simple interest rate method was u ith 4,5% nominal interest rate (after each change in the interest metho terest was added to the account balance). Please calculate what was t ominal interest rate in the second period if the profit from the deposit v 14,70 PLN after the whole 2 years period?
bank customer saved 5000 PLN on the savings account. The deposit years. For the first 6 months continuous interest rate method was used 5% nominal interest rate, for the next 9 months compound interest rat as used, and during the last months simple interest rate method was u ith 4,5% nominal interest rate (after each change in the interest metho terest was added to the account balance). Please calculate what was t ominal interest rate in the second period if the profit from the deposit v 14,70 PLN after the whole 2 years period?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:A bank customer saved 5000 PLN on the savings account. The deposit lasted for
2 years. For the first 6 months continuous interest rate method was used with the
4,5% nominal interest rate, for the next 9 months compound interest rate method
was used, and during the last months simple interest rate method was used also
with 4,5% nominal interest rate (after each change in the interest method,
interest was added to the account balance). Please calculate what was the
nominal interest rate in the second period if the profit from the deposit was
414,70 PLN after the whole 2 years period?
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