question archive Your grandmother asks for your help in choosing a certificate of deposit? (CD) from a bank with a? one-year maturity and a fixed interest rate
Your grandmother asks for your help in choosing a certificate of deposit? (CD) from a bank with a? one-year maturity and a fixed interest rate
Subject:FinancePrice: Bought3
Your grandmother asks for your help in choosing a certificate of deposit? (CD) from a bank with a? one-year maturity and a fixed interest rate.
The first certificate of? deposit, CD? #1, pays 4.95 percent APR compounded semiannually?, while the second certificate of? deposit, CD? #2, pays 5.00 percent APR compounded quarterly.
What is the effective annual rate? (the EAR) of each? CD, and which CD do you recommend to your ?grandmother?
