Answered step by step
Verified Expert Solution
Question
1 Approved Answer
If the annual interest rate based on simple rate (compounding your interest payment once a year) is 20%. What is the annual interest rate is
If the annual interest rate based on simple rate (compounding your interest payment once a year) is 20%. What is the annual interest rate is 12 times per year (compounding frequency is 12)?
a. 22%
b. 32%
c. 42%
d. 44%
Please show your work!
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started