2. Find the effective rate of interest per annum corresponding to the nominal rate of interest 8% p.a., convertible quarterly.

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
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Please answer to me this two question.
2. Find the effective rate of interest per annum corresponding to the nominal rate of
interest 8% p.a., convertible quarterly.
3. Interest on a credit card is quoted as 23% p.a. compounded monthly. What is the
effective annual interest rate?
Transcribed Image Text:2. Find the effective rate of interest per annum corresponding to the nominal rate of interest 8% p.a., convertible quarterly. 3. Interest on a credit card is quoted as 23% p.a. compounded monthly. What is the effective annual interest rate?
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