Answered

Connect with experts and get insightful answers on IDNLearn.com. Ask anything and receive prompt, well-informed answers from our community of knowledgeable experts.

3. A thousand dollars is invested for 7 months at an interest rate of 1% per month. What is the nominal interest rate per year

Sagot :

Nominal interest = 1%/month * 12month/1 year

nominal interest rate =12%/ year

Effective interest rate = (1+1%)^12-1 = (1+1/100)^12 -1 = 12.68%

Thank you for using this platform to share and learn. Keep asking and answering. We appreciate every contribution you make. Your questions find clarity at IDNLearn.com. Thanks for stopping by, and come back for more dependable solutions.