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Author Question: You deposit 100 in a bank for a fixed 7 year term. Interest on the deposit is calculated every ... (Read 106 times)

student77

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You deposit 100 in a bank for a fixed 7 year term. Interest on the deposit is calculated every half-year (m = 2 ) at the rate of 5 per half-year (i/m = 5). Because the term is fixed, you are not allowed to withdraw interest at any point.
 
  You earn interest in the final compounding period of the term. How much of that interest is earned off of earlier interest (as opposed to earned off of the principal)?
  A) 4.43
  B) 9.43
  C) 4.90
  D) 5.00
  E) 9.90

Question 2

Identify several factors that influence the decision to issue debt.
 
  What will be an ideal response?


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javimendoza7

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student77

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Reply 2 on: Jul 10, 2018
YES! Correct, THANKS for helping me on my review


jackie

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Reply 3 on: Yesterday
Excellent

 

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