jamie would like to compare one savings account to another savings account. so, he compares the amount of interest he will earn in one year from each account. this is the

If Jamie would like to compare one savings account to

another savings account, and that he compares the amount of the interest he

will earn in one year in each account, it is likely that he is demonstrating

the annual percentage yield. This is where the annual rate return exist in

which the effect of copound interest is being taken into account.

hope this helps