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Question 5 • 26-27 Ignite Technical Math-Financial Math - MA2007

A bank offers a four year cd with an interest rate of 2.75%. The penalty for early withdrawal from the CD is nine months of simple interest, calculated on the amount withdrawn. Rachel invests $6,200. If she withdraws $2250 after one year, how much will the penalty be? Round answer to the nearest dollar. a. $46 b. $56 c. $128 d. $557 Please select the best answer from the choices provided

Answer
A
A
B
B
C
C
D
D
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A bank offers a four year cd with an interest…