e interest rate was 20% and

Q: he effective annual interest rate is 15%. A) Assume interest is compounded monthly. What is the…

A: The effective annual interest rate is the real return on a savings account or any interest-paying…

Q: What nominal annual discount rate compounded semiannually is equivalent to a nominal rate of…

A: Nominal Interest Rate: When the market inflation is not taken into consideration while computing the…

Q: Find the effective interest rate of 5% interest compound monthly. Show all work step by step

A: The Effective Interest Rate takes into account the compounding effect over the Interest Rate. It is…

Q: 3. The price of a certain item is P1,000, payable in O days but if paid in 30 days there will be a…

A: Formula: Simple Interest = Principle X Rate X Time/365 days

Q: Find the discount interest on Php 20,000 for 210 days at a discount interest rate of 8 3/4%. What is…

A: Present value: According to present value, a sum of money is worth more today than it will be…

Q: An annuity due of $100 each for 10 year has a PV of $850. What is the interest rate being offered?

A: Annuity=$100Period=10 yearsPresent value=$850Required is to find out interest rate.

Q: what is the value of $100

A: The future value of money is determined by compounding the original amount with interest. It…

Q: For each of the following cases, indicate (a) to what interest rate columns and (b) what number of…

A: The time value of money is a key financial concept that indicates that a dollar amount in possession…

Q: The effective rate of interestis 3.25% per annum. Calculateto 6 sf. (a)The equivalent rate of…

A: “Since you have posted a question with multiple sub-parts, we will solve the first three sub- parts…

Q: At an annual effective rate of interest i = 4%, find the PV of a perpetuity- immediate with annual…

A: Data given: Annual effective rate of interest i= 4% First stream = constant perpetuity of 3 Second…

Q: The nominal interest rate on a loan is 12.5% and inflation is 3%. What is the real interest rate?

A: Information Provided: Nominal Rate = 12.5% Inflation = 3%

Q: Find the maturity value on a loan of $2,500 at 11.5% interest, for 84 months. Use the formula  MV =…

A: The maturity value of loan will be the aggregate of Amount of loan and Interest on loan.

Q: A loan of 109,517.20 is being repaid with level annual payments of K at an annual effective interest…

A: A loan is being amortized by level payment. The quantum of principal repaid in a particular payment…

Q: what is the total interet earned after 2 years on a CD with an initial investment of $790 and a 2.4%…

A: The objective of this question is to calculate the total interest earned on a Certificate of Deposit…

Q: What is the effective interest rate per week for an investment of $50 with an interest of $5 per…

A: Effective Interest Rate per week = Interest / Investment

Q: fective rate of interest is 2.3% per annum.  Calculate the effective rate of discount per month.

A: Effective rate is the rate of interest considered after the compouding of the interest and is more…

Q: A 10-year floating rate (annually paid) security selling for 101.32 pays a rate based on a reference…

A: A 10-year floating rate (annually paid) security selling for 101.32 pays a rate based on a reference…

Q: What is the 2-year discount factor if the interest rate is 4% in both years?

A: Under the concept of time value of money discounting factor refers to the rate or percentage that is…

Q: ) An interest rate of 5% compounded quarterly is equivalent to what rate compounded monthly?

A: Using excel Effective and Nominal Rate function