City Bank guarantees that any client who invests $100,000 in their accounts that earn semi-annually compounded interest
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City Bank guarantees that any client who invests $100,000 in their accounts that earn semi-annually compounded interest rates will realize a 250% increase in 10 years. Calculate the effective rate of return and the corresponding nominal interest rate for any client that accepts this guarantee with a $100,000 investment.
AppendixLO1
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Related Book For
Mathematics Of Business And Finance
ISBN: 9781927737545
4th Edition
Authors: Larry Daisley, Thambyrajah Kugathasan, Diane Huysmans
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