If you put your money in a savings account, the bank offers a 4.30% annual rate. You have the possibility to purchase today a bond at $96 and sell it in a year at $97.36. What is the best investment option?

Question

Answer

You are indifferent because all options have the same return

Answer

The bond is the best option because it has a highest return

Answer

The bank is the best option because it has the highest return

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If you put your money in a savings account, the bank offers a 4.30% annual rat...

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