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A savings account quotes you a 5% effective annual interest rate. The savings account features weekly compounding. How many basis points would you earn per
- A savings account quotes you a 5% effective annual interest rate. The savings account features weekly compounding. How many basis points would you earn per week on a balance in this account? Assume there are 52 weeks in a year.
- (2 points) An investment has grown from an initial $3,000 to $15,645 over 15 years. Find the holding rate of return and the annualized rate of return of this investment?
- (2 points) You have $68 today and hot dog buns cost $0.25 each. Inflation over the next year is expected to be 2%. You can deposit your money in a savings account that will pay interest of 3.5% per year. How many hot dog buns will you be able to purchase one year from now?
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