You are currently earning 12% (APR) compounded semiannually. Your investment company is switching all accounts to daily compounding. What rate will give you the same effective annual rate of return as you are receiving now
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Ответ:
The rate that will give the same effective annual rate of return is 0.033%.
Explanation:
a) Data and Calculations:
APR = 12%
Semi-annual compound rate = 6% (12/2)
Assumed calendar days in a year = 360 days
Effective daily rate of return = 12%/360 = 0.033%
b) The conversion of semi-annual compounding to daily compounding results in reduced rate of return. In this case, we assume that there are 360 days in a year. Since the APR = 12%, it means that the daily rate of return will be 12%/360, which is 0.033%.
Ответ:
Jeremy should consider hiring an experienced and creative marketing team. Every product is brought into the market through the efforts of the market team. It is the responsibility of the sales and marketing team to carry out market analysis and come with creative ideas to reach the target market.
For Jeremy to increase sales and his connection with the customer base, he needs to work on establishing a sales and marketing department whose sole focus would be to convert his plans into effective actions.