A bank proudly announces that it has changed its interest computation method to continuous compounding. Now $2000
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A bank proudly announces that it has changed its interest computation method to continuous compounding. Now $2000 left in the bank for 9 years will double to $4000.
(a) What nominal interest rate, compounded continuously, is the bank paying?
(b) What effective interest rate is it paying?
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a Using Equation 439 F Pe rn 4000 2...View the full answer
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