document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1015073>Question 1015073</A>: <I><SPAN STYLE=\"word-break: break-all;\"> What is the effective annual rate of an investment that pays 6% for 5 years, compounded semi-annually?<BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #631462 by </B><A HREF=/tutors/aboutme.mpl?userid=fractalier><B>fractalier(6550)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=fractalier><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=fractalier><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=631462\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> We take (1 + .06/2)^(5*2) = 1.344 and divide the .344 by 5 and get<BR>\n" );
document.write( ".344 / 5 = .0688 or about 6.88% per year effective annual rate... </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );