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Estimate how much will have in the account at the end

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You plan to invest $2,000 in an individual retirement arrangement today at a nominal annual rate of %7 which is expected to apply to all future years.

Question 1: How much will you have in the account at the end of 9 years if interest is compounded annually, semiannually and daily(assume a 365 day year)?

Question 2: What is the effective annual rate , EAR for each compounding period in part a ?

Reference no: EM132553938

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