Foreign direct investment relate to the current account

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Reference no: EM131819164

1. How does Foreign Direct Investment relate to the current account?

2. Bank 1 pays a nominal annual interest rate of 4% compounded monthly. Bank 2 pays a nominal annual interest rate of i(365), compounded daily. What should i(365) be so that the banks pay the same effective annual rate?

3. You take out a loan at an APR of 12% without monthly compounding what is the effective rate on your loan.

Reference no: EM131819164

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