If the effective interest rate is 20% per annum, what is the Nominal Rate if it is? a.Compounded Daily (360 Days) b.Compounded Daily (365 Days) c.Compounded Weekly

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: .If $1000 is deposited at 12.5% p.a. for one year, what is the effective annual interest rate if…

A: Given, The amount deposited is $1000 The annual rate is 12.5%

Q: A bank quotes an interest rate of 5% per year with quarterly compounding. What is the equivalent…

A: The effective interest rate is the true cost of borrowing, taking into account the compounding of…

Q: Find the interest rates in the following situations. a. APR = 7%, compounded monthly. Find the…

A: The funds infused to earn additional income and create wealth is considered as an investment. An…

Q: An interest rate is quoted as 3.75% per year compounded quarterly, what is the effective semi-annual…

A: The objective of the question is to find the effective semi-annual interest rate from a given annual…

Q: etermine the simple interest.​ (The rate is an annual rate unless otherwise stated. Assume 360 days…

A: The question is based on the concept of Financial Management.Basically, there are two types of…

Q: Calculate the nominal annual rate of interest compounded quarterly that is equivalent to 10% p.a…

A:

Q: If the effective annual interest rate is 15% then what is the equivalent annual rate compounded…

A: Effective annual rate (EAR) = 15% Number of compounding per year (m) = 4

Q: An interest rate is quoted as 3.75% per year compounded quarterly, what is the effective daily rate?

A: The objective of the question is to calculate the effective daily interest rate from a given annual…

Q: What is the monthly interest rate for a fixed interest rate of 12% per annum? Choices: 1% 12%…

A: Annual Interest rate = 12%

Q: f the nominal rate is 11.5% per year compounded continuously, what is the equivalent effective rate…

A: Nominal rate = 11.5% compounded continuously We need to find bi-monthly rate, where there are 24…

Q: For an effective interest rate of 16% per annum, what is the equivalent nominal annual rate…

A: The periodic interest rate is multiplied by the number of periods in a year to create the nominal…

Q: If the nominal or headline rate of interest is 24%, what is the effective annual rate i.…

A: The nominal rate of interest = 24%  The effective rate is compounded semi-annually means 2 times a…

Q: What is the nominal rate of interest compounded semi annually which is equal to 8.65% compounded…

A: The effective annual rate of interest is the actual or the real rate of interest paid or received…

Q: An interest rate is quoted as 3.75% per year compounded quarterly. What is the effective daily rate?

A: The objective of the question is to calculate the effective daily interest rate from a given annual…

Q: An interest rate is quoted as 3.75% per year compounded quarterly, what is the effective weeky rate?

A: The objective of this question is to find the effective weekly interest rate from a given annual…

Q: If the effective annual interest rate is 9.58% and the nominal annual rate is 9.25%, compounding is:…

A: The effective annual rate (or the EAR) takes into consideration the impact of compounding.   On the…

Q: For an APR of 15% per year, if the interest is compounded weekly, determine the nominal rate per (a)…

A: The nominal interest rate represents the stated rate of interest on a financial product before…

Q: Find the nominal rate compounded annually equivalent to the rate of interest of 8 % compounded…

A: Nominal interest rate is the rate which is the rate before adjusting inflation rate. It is the…

Q: Find the effective annual rate of interest equivalent to a nominal rate of interest of 4.8%…

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

Q: Which one of the following represents the highest effective interest rate per yea

A: Here we will have to convert each option to its EAR i.e. effective annual rate. The compounding…

Q: a fixed term deposit investment account with an interest rate of 6.5% per annum compounding…

A: Effective interest rate is the interest rate after considering the impact of compounding on the…