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Suppose you have $5,000 and plan to purchase a 10-year certificate of deposit (CD) that pays 2.0% annual interest, compounded quarterly. How much will you
Suppose you have $5,000 and plan to purchase a 10-year certificate of deposit (CD) that pays 2.0% annual interest, compounded quarterly. How much will you have when the CD matures? (Hint: You need to convert the annual interest rate 1.2% into the quarterly interest rate, and convert 15 years into 10*4=40 quarters to get correct answer).
Suppose you have $5,000 and plan to purchase a 10-year certificate of deposit (CD) that pays 2.0% annual interest, compounded quarterly. How much will you have when the CD matures?
(Hint: You need to convert the annual interest rate 1.2% into the quarterly interest rate, and convert 15 years into 10*4=40 quarters to get correct answer).
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College Accounting Chapters 1-30
Authors: John Price, M. David Haddock, Michael Farina
15th edition
1259994975, 125999497X, 1259631117, 978-1259631115
