In order to compute for the effective annual rate, the
working equation would be [( 1 + i/n)^n] – 1. The i
corresponds to the nominal rate while n is the number of compounding periods
per year which in this case is 12. The answer would be 5.116%.
If this question has the same set of choices like the previous ones, the answer is:
<span>Paying off your credit card bill.
</span>A credit score is a numerical expression of a person's credit files, to represent his creditworthiness <span>based on a level analysis. Paying off your credit card bill would improve your credit score. </span>
