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Savings account 1 pays an APR of 5.25%, with daily compounding. Savings account 2 pays an APR of 5.30% with semi-annual compounding. Which savings account
Savings account 1 pays an APR of 5.25%, with daily compounding. Savings account 2 pays an APR of 5.30% with semi-annual compounding. Which savings account should you use? A. None of the above B. Account 2 C. Account with the highest APR D. Both accounts E. Account 1 The bond of Otago Renewable Energy Ltd has a coupon rate of 9% p.a. The coupons are paid every 6 months. The bond has a $1,000 face value and is priced at par value. The bond has 16 years to maturity. If interest rates suddenly rise by 3.00% p.a., what is the change in the price of the Bond? A. $251.83 decrease B. $407.78 decrease C. $209.22 decrease D. $211.26 decrease E. $313.83 decrease
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