I minimized the answers down to 1 and 4, the other two are not correct
9514 1404 393
Answer:
0.06164
Step-by-step explanation:
The effective annual rate obtained by compounding nominal annual rate r monthly is ...
eff rate = (1 +r/12)^12 -1
Then the value of r is ...
r = 12×((eff rate) +1)^(1/12) -1)
For the given effective rate, that is ...
r = 12×(1.06341^(1/12) -1) ≈ 0.06164 . . . . nominal annual interest rate
Answer:
Mean absolute deviation is the average of the absolute deviations from the mean. It is a measure of variability, which gives us an idea about the spread of data points from mean. Therefore, the small MAD means the data points are less deviated from mean. And the large MAD means the data points are more deviated from mean.
Hence, smaller the MAD lesser the variation in data.
