7 @ | |
| | Stores 84 deposit periods, | |||
|
|
|
|
| $25 per deposit, and no | ||
25& | | | |||||
0 | |
| | money before the first | |||
|
|
|
|
|
|
| regular deposit. |
|
| Value of account in 7 | |||||
|
| | |||||
|
|
|
|
|
|
| years. |
If the interest rate were the unknown, you would first do the TVM calculation to get I%YR (5.01). Then, in the ICNV PER menu, store 5.01 as NOM% and 12 as P for monthly compounding. Calculate EFF% (5.13). Then change P to 365 for daily compounding and calculate NOM% (5.00). This is the bank’s rate.
90 6: Interest Rate Conversions
File name :