W: Good morning, High Mountain Savings and Loan. How may we help you?
M: Well, I'm looking for the highest rate possible on a short-term certificate to deposit account.
W: Well, let's see what we can do for you. High Mountain is currently offering a rate of 6,496 on a thirteen-week account for the minimum deposit of only 12,000 dollars, 6.55% on a minimum deposit of 25,000 dollars and 6.7% on a deposit of 50,000 dollars. Those will have yields of 6.55%, 6.71% and 6.87% respectively.
M: Rate and yield? I'm afraid I don't understand the difference.
W: Well, sir. The rate is the percentage of simple interest paid on your money, and the yield is the total percentage you will receive on your account if you leave your money with us, for at least a year, at the same interest rate.
M: Oh, well… Um… But I'm not interested in long-term investing and three months sounds just fine.
W: Then perhaps you'd like to open one of our high finance money market checking accounts. With the minimum balance of only 50,000 dollars, you'll get interest of 6.1% on any amount over that, for a yearly yield of 6.27%. Of course, there's no penalty for early withdrawal.
M: Er… No, thank you, I…
W: Or, could we persuade you to save with us if we offered you a dining coupon book that will get you a 25% discount at many of the area's leading restaurants and cost you only 12 dollars and 95 cents?
M: Look, I… I think I'll just call around for more information. Thank you for your time.