2)wan street Journal costs $625, payable now for a 3-year subscription. T hehewspaper is published 252 days per year (5 daya per week, except holidays).Ir 8.5 % nominal interest rate is charged by bank compounded every 2 months.Finda) Effective interest rate.b) Compute the equivalent interest rate per 1/252of a year.©) What is a subscription cost per copy of the newspapers cost king interest intoaccount?

The question is based on the concept of an effective interest rate. The effective interest rate is…

Answered: 2) Wall street Journal costs $625,…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Find the monthly payment and estimate the remaining balance. Assume interest is on the unpaid balance. 4-year computer loan for $3106 at 5.7%; remaining balance after 2 years. The monthly payment is $. (Round to the nearest cent as needed.) The remaining balance is $. (Round to the nearest dollar as needed.)
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92. Subject :- Finance
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Suppose you owe $1,000 on your credit card. The annual percentage rate (APR) is 12%, compounded monthly. The credit card company says your minimum monthly payment is $14.60. a. If you make only this minimum payment, how long will it take for you to repay the $1,000 balance (assuming no more charges are made)? b. If you make the minimum payment plus $7.64 extra each month (for a total of $22.24), how long will it take to repay the $1,000 balance? c. Compare the total interest paid in Part (a) with the total interest paid in Part (b). months for you to repay the initial balance. (Round to the nearest whole number.) b. It will take months for you to repay the initial balance. (Round to the nearest whole number.) c. The difference in the total interest paid in Part (a) and Part (b) is $. (Round to the nearest dollar.) a. It will take
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