The First National Bank is offering a 3 year certificate of deposit (CD) at 4% interest compounded quarterly; Second National Bank is offering a 3 year CD at 5% interest compounded annually. (Round your answers to two decimal places.)

If you were interested in investing $7,000 in one of these CDs, calculate the compound amount (in $) of each offer. (Use Table 11-1.)

First National Bank $

Second National Bank $

What is the annual percentage yield of each CD?

First National Bank % Second National Bank

If Third National Bank has a 3 year CD at 4.5% interest compounded monthly, use the compound interest formula to calculate the compound amount (in $) of this offer.

Periods 1% 1% 2% 3% 4% 5% 6% 7% 8% Periods 1 2 3 4 5 1.00500 1.01003 1.01508 1.02015 1.02525 1.01000 1.02010 1.03030 1.04060 1.05101 1.01500 1.03023 1.04568 1.06136 1.07728 1.02000 1.04040 1.06121 1.08243 1.10408 1.03000 1.06090 1.09273 1.12551 1.15927 1.04000 1.08160 1.12486 1.16986 1.21665 1.05000 1.10250 1.15763 1.21551 1.27628 1.06000 1.12360 1.19102 1.26248 1.33823 1.07000 1.14490 1.22504 1.31080 1.40255 1.08000 1.16640 1.25971 1.36049 1.46933 1 2 3 4 5 6 6 7 7 8 1.03038 1.03553 1.04071 1.04591 1.05114 1.06152 1.07214 1.08286 1.09369 1.10462 1.09344 1.10984 1.12649 1.14339 1.16054 1.12616 1.14869 1.17166 1.19509 1.21899 1.19405 1.22987 1.26677 1.30477 1.34392 1.26532 1.31593 1.36857 1.42331 1.48024 1.34010 1.40710 1.47746 1.55133 1.62889 1.41852 1.50363 1.59385 1.68948 1.79085 1.50073 1.60578 1.71819 1.83846 1.96715 1.58687 1.71382 1.85093 1.99900 2.15892 8 9 9 10 10 11 11 12 12 1.05640 1.06168 1.06699 1.07232 1.07768 13 14 15 1.11567 1.12683 1.13809 1.14947 1.16097 1.17795 1.19562 1.21355 1.23176 1.25023 1.24337 1.26824 1.29361 1.31948 1.34587 1.38423 1.42576 1.46853 1.51259 1.55797 1.53945 1.60103 1.66507 1.73168 1.80094 1.71034 1.79586 1.88565 1.97993 2.07893 1.89830 2.01220 2.13293 2.26090 2.39656 2.10485 2.25219 2.40985 2.57853 2.75903 2.33164 2.51817 2.71962 2.93719 3.17217 13 14 15 16 17 1.08307 1.08849 1.09393 1.09940 1.10490 18 19 20 1.17258 1.18430 1.19615 1.20811 1.22019 1.26899 1.28802 1.30734 1.32695 1.34686 1.37279 1.40024 1.42825 1.45681 1.48595 1.60471 1.65285 1.70243 1.75351 1.80611 1.87298 1.94790 2.02582 2.10685 2.19112 2.18287 2.29202 2.40662 2.52695 2.65330 2.54035 2.69277 2.85434 3.02560 3.20714 2.95216 3.15882 3.37993 3.61653 3.86968 3.42594 3.70002 3.99602 4.31570 4.66096 16 17 18 19 20 21 22 23 24 25 1.11042 1.11597 1.12155 1.12716 1.13280 1.23239 1.24472 1.25716 1.26973 1.28243 1.36706 1.38756 1.40838 1.42950 1.45095 1.51567 1.54598 1.57690 1.60844 1.64061 1.86029 1.91610 1.97359 2.03279 2.09378 2.27877 2.36992 2.46472 2.56330 2.66584 2.78596 2.92526 3.07152 3.22510 3.38635 3.39956 3.60354 3.81975 4,04893 4.29187 4.14056 4.43040 4.74053 5.07237 5.42743 5.03383 5.43654 5.87146 6.34118 6.84848 21 22 23 24 25 Periods 1% 1% 2% 3% 4% 5% 6% 7% 8% Periods 1 2 3 4 5 1.00500 1.01003 1.01508 1.02015 1.02525 1.01000 1.02010 1.03030 1.04060 1.05101 1.01500 1.03023 1.04568 1.06136 1.07728 1.02000 1.04040 1.06121 1.08243 1.10408 1.03000 1.06090 1.09273 1.12551 1.15927 1.04000 1.08160 1.12486 1.16986 1.21665 1.05000 1.10250 1.15763 1.21551 1.27628 1.06000 1.12360 1.19102 1.26248 1.33823 1.07000 1.14490 1.22504 1.31080 1.40255 1.08000 1.16640 1.25971 1.36049 1.46933 1 2 3 4 5 6 6 7 7 8 1.03038 1.03553 1.04071 1.04591 1.05114 1.06152 1.07214 1.08286 1.09369 1.10462 1.09344 1.10984 1.12649 1.14339 1.16054 1.12616 1.14869 1.17166 1.19509 1.21899 1.19405 1.22987 1.26677 1.30477 1.34392 1.26532 1.31593 1.36857 1.42331 1.48024 1.34010 1.40710 1.47746 1.55133 1.62889 1.41852 1.50363 1.59385 1.68948 1.79085 1.50073 1.60578 1.71819 1.83846 1.96715 1.58687 1.71382 1.85093 1.99900 2.15892 8 9 9 10 10 11 11 12 12 1.05640 1.06168 1.06699 1.07232 1.07768 13 14 15 1.11567 1.12683 1.13809 1.14947 1.16097 1.17795 1.19562 1.21355 1.23176 1.25023 1.24337 1.26824 1.29361 1.31948 1.34587 1.38423 1.42576 1.46853 1.51259 1.55797 1.53945 1.60103 1.66507 1.73168 1.80094 1.71034 1.79586 1.88565 1.97993 2.07893 1.89830 2.01220 2.13293 2.26090 2.39656 2.10485 2.25219 2.40985 2.57853 2.75903 2.33164 2.51817 2.71962 2.93719 3.17217 13 14 15 16 17 1.08307 1.08849 1.09393 1.09940 1.10490 18 19 20 1.17258 1.18430 1.19615 1.20811 1.22019 1.26899 1.28802 1.30734 1.32695 1.34686 1.37279 1.40024 1.42825 1.45681 1.48595 1.60471 1.65285 1.70243 1.75351 1.80611 1.87298 1.94790 2.02582 2.10685 2.19112 2.18287 2.29202 2.40662 2.52695 2.65330 2.54035 2.69277 2.85434 3.02560 3.20714 2.95216 3.15882 3.37993 3.61653 3.86968 3.42594 3.70002 3.99602 4.31570 4.66096 16 17 18 19 20 21 22 23 24 25 1.11042 1.11597 1.12155 1.12716 1.13280 1.23239 1.24472 1.25716 1.26973 1.28243 1.36706 1.38756 1.40838 1.42950 1.45095 1.51567 1.54598 1.57690 1.60844 1.64061 1.86029 1.91610 1.97359 2.03279 2.09378 2.27877 2.36992 2.46472 2.56330 2.66584 2.78596 2.92526 3.07152 3.22510 3.38635 3.39956 3.60354 3.81975 4,04893 4.29187 4.14056 4.43040 4.74053 5.07237 5.42743 5.03383 5.43654 5.87146 6.34118 6.84848 21 22 23 24 25