Answer:
7 %
Explanation:
The annual percentage yield will be the percentage gain at the end of the year.
The initial investment is $11, 000; the yield will be the balance at the end of the year minus the initial investment.
i.e., yield = balance at the end of the year - Initial investment
Percentage yield = Yield/ initial investments x 100
balance at the end of the year will:
the applicable formula for the future is the compound interest formula.
FV = PV × (1+r)n
Where
FV = future value
PV= $11,000
r = 6,75 per year 0r 0.000185 per day
n - i year or 365 days
Balance at the end of the year
FV = 11, 000 X (1+0,000185)365
FV =11,000 X 1.069834
FV = 11, 768.35
the yield will be
=balance at the end of the year - initial investment
=$11,768.35 - $11,000
=$768.35
Percentage yield will be
yield / initial investment x 100
=768.35/ 11,000 x 100
=6.985%
=7%
