HW4: Problem 11 Previous Problem List Next (1 point) The ABC Bank has an early withdrawal policy for certificates of deposit (CDs) which states that interest credited for the entire length the money actually stays with the bank, but the CD nominal interest rate for last k months will be reduced by 18%, where k = (number of months of full term)-(actual number of months) An incoming college freshman invests $8000 in a two-year CD with a nominal rate of interest equal to 6.75% compounded monthly on September 1 at the beginning of the freshman year. The student intended to leave the money on deposit for the full two-year term to help finance the junior and senior years but finds the need to withdraw it on May 1 of the sophomore year. Find the amount that the student will receive for the CD on that date. ANSWER $ Preview My Answers Submit Answers You have attempted this problem 1 time Your overall recorded score is 0%. You have unlimited attempts remaining Email instructor