Calculate the following net factor rates. 1. One and a half years rate of interest of 8 percent 2. Semi-annual 4 percent rate of interest for 2.5 years 3. Quarterly rate of interest of 5% for 2 years
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- If you borrow $7,300 at $800 interest for one year, what is your effective interest rate for the following payment plans? Note: Input your answers as a percent rounded to 2 decimal places. a. Annual payment b. Semiannual payments c. Quarterly payments d. Monthly payments Effective Rate of Interest % % % %Consider a loan of $2.5 million that is paid quarterly over a period of 10 years. Calculate the dollar amount of interest and loan principal repaid corresponding to each payment if the interest rate is 9% per year, compounded quarterly. What is the 5th Quarter Interest and also the 5th Quarter Principal Repayment respectively O a $157,274.15 and $232,276.07 O b. $97,158.12 and $95,032.24 O c. $46,919.62 and $32,752.85 O d. $52,601.74 and $42,841.70Find the effective rate of interest corresponding to a nominal rate of 7% per year compounded monthly.
- Determine the future value of $10,000 under each of the following sets of assumptions: Interest Compounded Annual Rate Period Invested Semiannually Quarterly Monthly 1. 10% 10 years 5 years 2. 12 3. 30 months 24A. Calculate the effective annual rate (EAR) in each of the following scenarios: b. APR = 10%, monthly compounding c. 4% semi-annual interest rate, monthly compounding d. 1.5% monthly interest rate, daily compounding e. 3% quarterly interest rate, annual compoundingFor an interest rate of 1% per quarter, determine the nominal interest rate per (a) semiannual period, (b) year, and, (c) 2 years.
- 7.If $1000 is deposited at 12.5% p.a. for one year, what is the effective annual interest rate if interest is compounded quarterly? Select one: a. 13.10% b. 12.50% c. 13.03% d. 13.05%Calculate the present value of the following single amounts. Future Value Annual Rate Interest Compounded Period Invested 1. $10,000 6% Annually 5 years 2. 7,000 8 Semiannually 8 years 3. 6,000 12 Quarterly 4 yearsDetermine the monthly payment for the installment loan. Amount Financed (P) Annual Percentage Rate (r) Number of Payments per Year (n) Time in Years (t) $1000 7.5% 12 3 The monthly payment is $
- An investment earns an annual interest rate of 12 percent compounded quarterly. What is the effective annual rate?A. 3.00%.B. 12.00%. C. 12.55%.Which of the following interest rates will result in the highest amount of interest being charged? 7.5% per year, compounded quarterly 7.8% per year. compounded semi-annually 8% per year, compounded annually 7% per year, compounded daily (assuming there are 365 days in a year)if the interest rate of a certain account ia 6.5%, compute the (a) single payment present worth factor; and (b) single payment compound amount factor at the end of 18 years.