austiningles2772 austiningles2772

15-08-2017
Mathematics

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Emily opened a credit card at a department store with an APR of 12.36% compounded twice a year. What is the APY on this credit card?

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Aliwohaish12 Aliwohaish12

15-08-2017

APY=(1+r/k)^(k)-1
R = 0.1236
K compounded twice a year 2

APY=(1+0.1236÷2)^(2)−1
APY=0.1274×100=12.74%

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