You are considering moving your money to a new bank offering a one-year CD that pays an

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You are considering moving your money to a new bank offering a one-year CD that pays an 8%

APR with monthly compounding. Your current bank’s manager offers to match the rate you have been offered. The account at your current bank would pay interest every six months. How much interest will you need to earn every six months to match the CD?

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Corporate Finance

ISBN: 9780137845071

6th Edition

Authors: Jonathan Berk, Peter DeMarzo

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