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You plan to invest $12,000 in a certificate of deposit (CD) for 14 years. For the first six years, you invest in a CD
You plan to invest $12,000 in a certificate of deposit (CD) for 14 years. For the first six years, you invest in a CD that pays an annual interest rate of 4.2%, while for the remaining eight years you invest in a CD that pays an annual interest rate of 6.1%. What is the equivalent annual rate of return over the entire 14 years?
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Contemporary Engineering Economics
Authors: Chan S. Park
5th edition
136118488, 978-8120342095, 8120342097, 978-0136118480
