SOLUTION: Find the effective rate equivalent to 9% compounded semi-annually

SOLUTION: Find the effective rate equivalent to 9% compounded semi-annually

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Question 1193458: Find the effective rate equivalent to 9% compounded semi-annually
Answer by ikleyn(52781) (Show Source): You can put this solution on YOUR website!
.


The annual growth coefficient is

     =  = 1.092025.


So, the annual effective rate is  9.2025%.    ANSWER

Solved and explained.

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