What is the effective return on the investment


Problem: You are considering an investment with a quoted return of 10% per year. If interest is compounded daily, what is the effective return on this investment?

a. 1.11%

b. 10.00%

c. 10.25%

d. 10.47%

e. 10.52%

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Finance Basics: What is the effective return on the investment
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