You Are Offered an Investment That Pays 8% APR Compounded

question 62

Multiple Choice

You are offered an investment that pays 8% APR compounded continuously.The effective annual rate for this investment is closest to:

• A)7.70%.
• B)8.00%.
• C)8.33%.
• D)8.50%.

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Definitions:

Cognitive Component

A component of attitude that reflects what a person believes to be true.

Jaguar Vehicles

A prestigious brand of luxury and sports cars produced by the British automobile manufacturer Jaguar Land Rover.

Mechanical Problems

Issues or failures related to the components and systems of a mechanical nature in devices, vehicles, or machinery.

Negative Attitudes

Refers to unfavorable or adverse feelings and perceptions towards a person, object, or idea.