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Which do you prefer: a bank account that pays 5.6% per year (EAR) for three years or An account that pays 2.6% every six months
Which do you prefer: a bank account that pays 5.6% per year (EAR) for three years or An account that pays 2.6% every six months for three years? b. An account that pays 6.7% every 18 months for three years? c. An account that pays 0.41% per month for three years? (Note: Compare your current bank EAR with each of the throe attemative accounts. Be careful not fo round any intermediate steps less than six decimal places.) a. An account that pays 2.6% every six months for 3 years? If you deposit $1 into a bank account that pays 2.6% every six months for three years: The amount you will receive after three years is $ (Round to five decimal places.) Which bank account would you prefor? (Select trom the drop-down many.) b. An account that pays 6.7% every 18 months for 3 years? If you deposit 51 into a bank account that pays 6.7% every 18 months for three years: The amount you will recoive aftec three yoars is $ (Round to five decimal places.) Which bank account would you prefer? (Select from the drop-down menu.) c. An account that pays 0.41% per month for three years? If you deposit $1 into a bank account that pays 0.41% per month for three years. The amount you will receive after three years is $ (Round to five decimal places.) Which bank account would you prefer? (Select from the drop-down menu.)
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