You have a savings account that pays 36 interest compounded


Question: You have a savings account that pays 3.6% interest compounded semiannually, but you are considering transferring your funds into a savings account that pays 3.4% interest compounded monthly. Calculate the difference in the effective interest rates of the two accounts. What is the difference in the effective interest rates of your existing and potential new accounts? (Express the rates in decimal form rounded to four decimal places. Subtract the E1R of the new account from the EIR of your existing account.) (Round to four decimal places.)

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Finance Basics: You have a savings account that pays 36 interest compounded
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