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Selecting a CD. Casey has $1,000 to invest in a certificate of deposit. Her local bank offers her 1 answer below » Selecting a CD. Casey has $1,000 to invest in a certificate of deposit. Her local bank offers her 2.5% on a 12-month FDIC-insured CD. A nonfinan- cial institution offers her 5.2% on a 12-month CD. What is the risk premium? What else must Casey consider in choosing between the two CDs? Aug 21 2015 06:38 PM