on the first of the year , james invested x dollars at proudstar bank in an account that yields 1.5 % 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 ?
"if the interest were compounded annually instead of quarterly then in one year the interest would be 1.5 * 4 = 6 % . now , since the interest is compounded quarterly then there would be interest earned on interest ( very small amount ) thus the actual interest would be a little bit more than 6 % . answer : b ."
multiply(1.5, const_4)