To make Auto loan look more attractive than they really are, some banks advertise that their rates are higher than their competitor’s rates; however, the some automotive companies says that their rate is a simple interest rate. If a person deposits Php 80 000 at 12 % per year simple interest, what compound interest rate would yield the same amount of money in 3 years? a. 8.03 % per year b. 10.79 % per year c. 7.71 % per year d. 9.13 % per year
To make Auto loan look more attractive than they really are, some banks advertise that their rates are higher than their competitor’s rates; however, the some automotive companies says that their rate is a simple interest rate. If a person deposits Php 80 000 at 12 % per year simple interest, what compound interest rate would yield the same amount of money in 3 years? a. 8.03 % per year b. 10.79 % per year c. 7.71 % per year d. 9.13 % per year
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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To make Auto loan look more attractive than they really are, some banks advertise that their rates are higher than their competitor’s rates; however, the some automotive companies says that their rate is a simple interest rate. If a person deposits Php 80 000 at 12 % per year simple interest, what
a. 8.03 % per year
b. 10.79 % per year
c. 7.71 % per year
d. 9.13 % per year
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