year certificate of deposit (CD) at 4.39% interest compounded quarterly. On the same day on the internet, First Bank offered a 14 year CD at 4.38% compounded monthly. Find the APY for each CD. Which bank paid a higher APY? The APY for the CD at Bank One is (Type an integer or decimal rounded to three decimal places as needed.) The APY for the CD at First Bank is (Type an integer or decimal rounded to three decimal places as needed.) Which bank paid a higher APY? OA Bank One O 8. First Bank

year certificate of deposit (CD) at 4.39% interest compounded quarterly. On the same day on the internet, First Bank offered a 14 year CD at 4.38% compounded monthly. Find the APY for each CD. Which bank paid a higher APY? The APY for the CD at Bank One is (Type an integer or decimal rounded to three decimal places as needed.) The APY for the CD at First Bank is (Type an integer or decimal rounded to three decimal places as needed.) Which bank paid a higher APY? OA Bank One O 8. First Bank

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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Similar questions

A bank charges Cash Inc. an interest rate of 4.5% compounded quarterly on its line of credit. If 0.5% was added to the effective interest rate, calculate the new interest rate compounded quarterly. % Round to two decimal places
The following certificate of deposit (CD) was released from a particular bank. Find the compound amount and the amount of interest earned by the following deposit. $4000 at 1.07% compounded semianually for 3 years. The compound amount is $. (Do not round until the final answer. Then round to the nearest cent as needed.)
Mike Drago took out a for $3,900 at the Gold Coast Bank for 270 days. If the bank uses the ordinary interest method, what rate (in %) of interest was charged if the amount of interest was $239? Round your answer to the nearest tenth of a percent.
H5.
A loan of 15700 was charged a simple discount rate of 4.2%. If the proceeds received were 15463.72, find the amount of bank discount. Hence, find the discount period in days.
Canadian Western Bank offers a Summit Savings Account with posted interest rates as indicated in the table below. Only each tier is subject to the posted rate, and interest is calculated daily based on the closing balance. Balance Interest Rate $0-$5,000.00 0% 1.05% $5,000.01-$1,000,000.00 $1,000,000.01 and up 0.80% December's opening balance was $550,000. Two deposits in the amount of $600,000 each were made on December 3 and December 21. Two withdrawals in the amount of $400,000 and $300,000 were made on December 13 and December 24, respectively. What interest for the month of December will be deposited to the account on January 1?
Nelson Co. issued a $80,000, 90-day, discounted note to Community Bank. The discount rate is 5%. At maturity, assuming a 360-day year, the borrower will pay how much?
Calculate the missing information on the revolving credit account. Interest is calculated on the unpaid or previous mo th's balance. (Round dollars to the nearest cent.) Annual Monthly Finance Purchases Payments New Previous Percentage Rate (APR) (as a %) Periodic Charge and Cash and Balance Balance Rate (in $) Advances Credits (in $) 1-% $ 31.12 $2,490.00 15 % $1,354.98 $300.00 3576.1 4
The First National Bank is offering a 4 year certificate of deposit (CD) at 4% interest compounded quarterly; Second National Bank is offering a 4 year CD at 5% interest compounded annually. (Round your answers to two decimal places.) (a) If you were interested in investing $6,000 in one of these CDs, calculate the compound amount (in $) of each offer. (Use Table 11-1.) First National Bank$ Second National Bank$ (b) What is the annual percentage yield of each CD? First National Bank %Second National Bank % (c) If Third National Bank has a 4 year CD at 4.5% interest compounded monthly, use the compound interest formula to calculate the compound amount (in $) of this offer. $ ????????
Calculate the missing information on the revolving credit account. Interest is calculated on the unpaid or previous month's balance. (Round dollars to the nearest cent.) Monthly Periodic Annual Finance Purchases Payments New Previous Charge and Cash and Balance Percentage Rate (APR) Balance Rate (in $) Advances Credits (in $) (as a %) $1,029.61 % 1.25% $ $322.20 $200.00 $
The following certificate of deposit (CD) was released from a particular bank. Find the compound amount and the amount of interest earned by the following deposit. $2500 at 6% compounded daily for 2 years. What is the compound amount? (Round to the nearest cent.)
The following certificate of deposit (CD) was released from a particular bank. Find the compound amount and the amount of interest earned by the following deposit. $3000 at 5.7% compounded quarterly for 5 years. What is the compound amount?

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