The correct option is B.) 2%
Since the nominal Interest rate is compounded every two months, then the interest is compounded 6 times per year.
Actual Interest rate per compounding period is 12/6 = 2%
A. For a nominal interest rate of 129 compounded every two months, the actual interest rate...
5. For a nominal interest rate of 12%, compounded every three months, the actual interest rate per compounding period is: a. 4% b. 1% c.2% d. None of the above
The effective interest rate is 19.76% for 28 months. If interest is compounded every two months, calculate the effective interest rate per six months.
What effective interest rate per two-months, compounded continuously, is equivalent to a nominal rate of 10% per year? The effective interest rate per two-months is _______ %
I need 17-30!! Calculate the yearly interest rate if an investment is paid 1.75% interest every two months 17 2.18 Calculate the interest rate per interest period if the yearly interest rate is 13% and the number of interest periods per year is three. 2.19 Calculate the number of interest periods per year if the yearly interest rate is 15% and the interest rate per interest period is 2.5% 2.20 Calculate the yearly interest rate if there are 12 interest...
1) For Nominal Interest Rate expression select one of the following: A. Interest period≥ Compounding period B. Interest period = Compounding period C. Interest period < Compounding period D. Compounding period≥ Interest period. 2)If the nominal interest rate is 10% per year compounded weekly, then what is “z% per half year compounded weekly”? A. 10% B. 2% C. 5% D. 6%
Problem 4 - If interest rate is 15% per year. Find the nominal interest rate equivalent to 15% if: 1. Compounding is every three months (quarterly) 2. Compounded hourly 3. Compounded continuously Note: Use 4 decimal points like 15.3542%
Problem 9: If the nominal interest rate is 21.00 percent, what is the effective interest rate per year for (percentage, to at least two decimal places): ((2 pts.) compounding annually? (b) (2 pts.) compounding quarterly (once every 3 months)? (c) (2 pts.) compounding monthly? (d) (2 pts.) compounding daily? (e) (2 pts.) compounding continuously?
The nominal interest rate is 10% compounded semiannually. What amount will need to be deposited every six months to be able to have enough money to pay three annuity payments of $5,000 for three years beginning at the end of year seven? The deposits begin now and continue every six months until six deposits have been made. The amount to be deposited every six months is?
10% per vear compounded monthly this interest rate is a an interest is advertised in the newspaper as 'APY nominal rate True False Question 2 (4 points) Saved A nominal interest is an interest rate that does not account for compounding. In other words, a nominal Interest rate, is an interest rate that does not include any consideration of compounding True False Question 3 (4 points) Saved rest i ti med to be equal to the period over which the...
Please answer C and D. If a nominal interest rate of 8% is compounded continuously, determine the unknown quantity in each of the following situations: a. What uniform EOY amount for 9 years is equivalent to $7,000 at EOY 9? b. What is the present equivalent value of $900 per year for 12 years? c. What is the future equivalent at the end of the fifth year of $237 payments made every six months during the five years? The first...