Ask Question
MathematicsMathematics
10 March, 11:31

Eden opened a credit card at a department store with an APR of 19.07% compounded monthly. What is the APY on this credit card?

+1
Answers (1)
  1. 10 March, 12:30
    0
    APR = Annual Percentage Rate; APY = Annual Percentage Yield.

    This is a tough question!

    To get the APY we use the compounding formula (A = P (1+r/n) ^nt) and put $1 in for the principal and see what our final amount is at 19.07% after a year.

    A = 1 (1+.1907/12) ^12

    A = 1.0159^12

    A = 1.2083 This means that we paid 0.2083 on our dollar after a year which means the APY is 20.83%.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Eden opened a credit card at a department store with an APR of 19.07% compounded monthly. What is the APY on this credit card? ...” in 📘 Mathematics if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Determine the solution for the system of equations below. y=4x 4x+y=0 no solutions (0, 0) (4, 1) infinitely many solutions
Answers (1)
What property does the equation 6x=72 have
Answers (1)
How long does it take a plane, traveling at a speed of 110 m/s, to fly once around a circle whose radius is 2850 m?
Answers (1)
1. Find the Perimeter and Area of a rectangle with height of 10 in and a base of 4 in.
Answers (1)
The length of a rectangle is 14 feet. The width is 6 feet. What is the perimeter of the rectangle? A. 64 feet B. 20 feet C. 40 feet D. 80 feet
Answers (1)
New Questions in Mathematics
Evaluate each function f (n) = 4n+2; Find (-4)
Answers (1)
What is 15b+13c-12b+10c+8
Answers (2)
If you deposit $1000 in a savings account with an interest rate of r compounded annually, then the balance in the account after 3 years is given by the function B (c) = 1000 (1+r) ^3 where r is as a decimal.
Answers (1)
Arie has $46 in his account and is saving $8.50 each week. Olga has $14 in her savings account and is saving $12.50 each week. After how many weeks will Arie and Olga have the same in their accounts?
Answers (1)
Hot dogs come in packs of 10 and buns come in packs of 8. Whats the least amount of packs you can buy to have the same amount of hot dogs and buns.
Answers (1)
Home » Mathematics » Eden opened a credit card at a department store with an APR of 19.07% compounded monthly. What is the APY on this credit card?
Sign Up Forgot Password?