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A bank advertises that a 3-year certificate of deposit (CD) account pays 7.00% per year, compounded monthly. What is the effective annual rate (EAR) on

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A bank advertises that a 3-year certificate of deposit (CD) account pays 7.00% per year, compounded monthly. What is the effective annual rate (EAR) on this deposit? [Enter your answer rounded to two decimal places. If your answer is 3.788%, enter 3.79. Do not enter a % sign. Do not enter a percent in decimal form (e.g.,. don't enter 3.788 % as 0.038).] Your Answer: Next Page Page 18 of 22 Answer Previous Page

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