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zheka24 [161]
3 years ago
9

Find the annual percentage yield (APY) in the following situation,

Mathematics
1 answer:
netineya [11]3 years ago
3 0

Answer:

3.95%

Step-by-step explanation:

An interest-bearing account paying a stated nominal or annual interest rate of 3.880% compounded monthly, would translate to an Annual Percentage Yield (APY) or Effective Annual Rate (EAR) of 3.95%. This means that $100.00 will grow to $103.95 ($103.95 rounded) after one year.

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