on the first of the year , james invested x dollars at proudstar bank in an account that yields 4 % in interest every quarter year . at the end of the year , during which he made no additional deposits or withdrawals , he had y dollars in the account . if james had invested the same amount in an account which pays interest on a yearly basis , what must the interest rate be for james to have y dollars at the end of the year ?
per quarter , interest = 4 % so for a year , interest = 16 % due to quarter cumulation , effective yield ( ytm ) would be slight higher than 16.25 % answer = 16.25 % = answer : d
multiply(4, const_4)