Question
You have found three investment choices for a one-year deposit: 10.0 % APR compounded monthly, 10.0 % APR compounded annually, and 9.0 % APR compounded
You have found three investment choices for a one-year deposit: 10.0 %
APR compounded monthly, 10.0 %
APR compounded annually, and 9.0 %
APR compounded daily. Compute the EAR for each investment choice. (Assume that there are 365 days in the year.) (Note: Be careful not to round any intermediate steps less than six decimal places.)
The EAR for the first investment choice is
%.
(Round to three decimal places.)
The EAR for the second investment choice is
%.
(Round to three decimal places.)
The EAR for the third investment choice is
%.
(Round to three decimal places.)
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Financial Statement Analysis
Authors: K. R. Subramanyam, John J. Wild
10th edition
73379433, 73379432, 978-0073379432
