Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Business Economics Expert

A savings bank offers $1000 certificates deposit. Each certificate can be redeemed for $2000 after 8.5 years. What are (a) the nominal, (b) the effective, annual interest rate, if the interest is compounded continuously?

Business Economics, Economics

  • Category:- Business Economics
  • Reference No.:- M91725702

Have any Question?


Related Questions in Business Economics

The partners at an investment firm want to know which of

The partners at an investment firm want to know which of their two star financial planners, Brayden or Zoe, produced a higher population mean rate of return last quarter for their clients. The partners reviewed last quar ...

Assume 20 of customers who enter a clothing store make a

Assume 20% of customers who enter a clothing store make a purchase and customers behave independently of one another. Ten customers enter the store in the next hour. The salesman on duty makes $20 per hour plus a $10 com ...

Indifference curve and budget lineannie has an income of

Indifference Curve and Budget Line Annie has an income of $180 an hour. Popcorn costs $6 a bag, and costs $4 a six-pack cola a. Draw a graph of Annie's budget line with six-pack of  cola on the x-axis , and popcorn on th ...

Suppose the timing device used in thenbspmensnbsprace

Suppose the timing device used in the  men's  race failed to activate at the start of the race and instead began to record the times seconds into the race.  Consider how the competitors' times would be affected. Would th ...

Research scenarionbspa community psychologist is interested

Research Scenario:  A community psychologist is interested in whether people's self-reported degree of religious belief predicts their self-reported feelings of well-being. She administers two questionnaires to 17 indivi ...

You are correct that the more financial leverage a business

You are correct that the more financial leverage a business has the more risky it becomes. Can you point out why this is true for a business?

If you are tossing a fair coin 10 times what is the

If you are tossing a fair coin 10 times, what is the probability of getting exactly 9 heads out of the 10 coin tosses?

Answer in true or false1 compensation of employees is the

Answer in true or False: 1) Compensation of employees is the largest component of national income. 2) National income is the income that individuals and firms earn from their production.

What are the typical types of risk faced by a firm explain

What are the typical types of risk faced by a firm? Explain each type of risk in details.

Monthly water bills for a city have a mean of 10843 and a

Monthly water bills for a city have a mean of $108.43 and a standard deviation of $36.98. Find the probability that a randomly selected bill will have an amount greater than $165, which the city believes might indicate t ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As