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A bank uses a continuously-compounded an...

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题目

A bank uses a continuously-compounded annual interest rate of 5% in one of its risk models. What is the equivalent interest rate the bank should use if it converts to semi-annual compounding in the model?

选项

A.4.94%

B.5%

C.5.06%

D.5.12%

答案

C

解析

The calculation process is as follow:「huixue_img/importSubject/1564169522175414272.png」