What Is the Annual Percentage Yield (Or Effective Annual Rate)

question 104

Multiple Choice

What is the annual percentage yield (or effective annual rate) for a nominal rate of 7.5% compounded quarterly? Round your answer to two decimal places. ​

• A)10.38%
• B)6.14%
• C)8.01%
• D)7.71%
• E)9.11%

---

Definitions:

Proposition

A statement or expression that presents an idea, opinion, or claim, typically one that can be true or false.

Conclusion

The final part of something, typically a process, argument, or statement, drawn from premises.

Premise

A statement or proposition from which another is inferred or follows as a conclusion.

Conclusion

The final part of something, such as an argument or a research paper, summarizing the findings or restating the main point.