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OpenStudy (anonymous):
Imagine a local bank representative is assiting you with establishing an account . The acount you two are discussing has an APR of 65%. Determine the APY w/ compounding period affect the annual yield?
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OpenStudy (tkhunny):
65%? Are you serious? Can I open an account? Let's just go with it. Semi-annual: (1 + 0.65/2)^2 - 1 = ?? Quarterly: (1 + 0.65/4)^4 - 1 = ??
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