Asked by Vanessa Rodriguez on May 01, 2024

verifed

Verified

Calculate the periodic interest rate for 4.8% compounded monthly.

Compounded Monthly

A financial calculation method where the interest earned on an investment is added to the principal each month, leading to increasing amounts of interest accrued over time.

Periodic Interest Rate

The interest rate applied to a financial product or loan over a specific period, less than a year, reflecting the frequency of compounding.

  • Comprehend and compute the periodic interest rate from annual rates and the frequency of compounding.
verifed

Verified Answer

CB
Corinne BrownMay 03, 2024
Final Answer :
0.4%