Q: What nominal rate compounded monthly is equivalent to 20% compounded annually? Round off your answer…
A: Effective annual interest rate represents the total interest rate after taking compounding effect…
Q: Find the nominal rate that if converted quarterly could be used instead for 15% compounded…
A: Nominal rate with semiannual compounding = 0.15 or 15% Number of semiannual compounding in a year =…
Q: Find the nominal rate compounded quarterly of 30 % compounded monthly.
A: Effective annual interest rate(EAR) refers to the real rate of return that we earn on our savings or…
Q: Determine the nominal rate of interest compounded quarterly which is equivalent to 6.3% compounded…
A: The nominal interest rate refers to the periodic interest rate multiplied by the number of periods…
Q: Determine the nominal rate for and interest rate of 1.5% per month compounded quarterly?
A: Nominal rate is the rate calculated without taking compounding into account
Q: Find the nominal rate, which if converted quarterly could be used instead of 12% compounded…
A: Let the nominal rate converted quarterly = r Semiannually compounded rate = i = 12% Compounding…
Q: If the nominal annual interest rate is 15%, what is the effective interest rate when interest is…
A: In this question We require to calculate the effective interest rate from below details: Nominal…
Q: What nominal rate compounded semi-annually yields the same amount as 20 % compounded quarterly?
A: Given rate (r) = 20% quarterly compounded (Compounding frequency = 4) Let i = Nominal rate…
Q: What nominal rate compounded quarterly is equivalent to 13% compounded bimonthly?
A: The nominal rate can be computed with the help of following formula: re=1+rmmn-1r=13%m=24n=4
Q: nd the nominal rate which if converted semi - annually could be used instead of 12% compounded bi -…
A: In this we have to find out the effective rate for both options and than find equivalent rate.
Q: What effective annual interest rate is equivalent to 9% compounded quarterly?
A: In this question we need to compute the effective annual interest rate compounded quarterly.
Q: What effective rate is the equivalent to 15% compounded annually?
A: Effective annual Interest can be computed as follows. EAR = (1 + i/n)n – 1 Here i = Annual rate of…
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: If the stated annual rate of interest compounded semi-annually is 12.5% then what is the equivalent…
A: Interest rate (APR) = 12.5% Number of compounding per year (m) = 2
Q: Given a 10% APR, what is the Effective Annual Rate, given quarterly compounding? _%
A: Effective rate = [ 1 + ( APR / Number of compounding per year ) ]Number of compounding per year - 1
Q: Calculate the annual effective rate equivalent to a nominal rate of 8.84% compounded quarterly.…
A: Given: Nominal rate for quarterly compounding = 8.84% Annual effective rate = (1 + rq/ n)n -1 where…
Q: e? 6 % p.a compounded monthly
A: The given problem can be solved using EFFECT function in excel. EFFECT function computes effective…
Q: what nominal rate of interest compounded monthly is equivalent to 12% per annum compounded…
A: The nominal rate of interest is the rate of interest that is considered before taking inflation.
Q: What is the effective annual rate (EAR) for an annual percentage rate (APR) or a nominal annual rate…
A: EAR = [(1+Nominal interest rate/n)^n]-1 where, n = compounding period In case of semi-annual…
Q: Convert 16% compounded semi-annually to equivalent nominal rate which is compounded daily
A: Information Provided: Interest rate = 16% compounded semi-annually
Q: est is paid at a rate of 5% per year, compounded quarterly, what is the effective annual rate?
A: The given problem can be solved using EFFECT function in excel. EFFECT function computes effective…
Q: Find the APY corresponding to the following nominal rate. 9% compounded quarterly The APY is %.…
A: APY stands for annual percentage yield. Formula for APY= (1+rn)n -1 where r= rate n= number of…
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 EAR corresponding to a nominal rate of compounded semiannually? Compounded 10%…
A: EAR is effective annual rate i.e. equivalent interest rate for interest rate which are compounded…
Q: If the nominal annual interest rate is 15%, what is the effective interest rate when interest is…
A: Given, Nominal interest rate = 15% Compounded frequency = Monthly We need to compute the effective…
Q: Effective rate? 20 % p.a compounded quarterly
A: The effective annual rate of interest is the actual or the real rate of interest paid or received…
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: account A pays a 4.98 percent annual percentage rate, compounded quarterly. Account B pays a 4.80…
A: Interest rate Number of compounding 4.98% 4 4.80% 12
Q: 6. Find the nominal rate compounded monthly which is equivalent to 12% compounded quarterly.
A: Compound Interest Compound Interest refers to the interest generated on principal as well as on the…
Q: 1. If the nominal annual interest rate is 15%, what is the effective interest rate when interest is…
A: Details given are : Nominal interest rate = 15% We need to compute the effective interest rate when…
Q: What is the effective rate equivalent to 17% compounded quarterly?
A: “Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only…
Q: Find the x% compounded semiannually on a nominal rate of 9% compounded continuously.
A: The effective annual rate of interest is the actual or the real rate of interest paid or received…
Q: Find the nominal rate which if converted quarterly could be used instead of 12% compounded monthly.
A: Effective annual rate (EAR) refers to a real interest rate which an investor is expect from his…
Q: Calculate the effective rate of 6% compounded quarterly
A: Interest rate = 6% 1 year = 4 quarter Annual Effective rate = (1+r/n)^n -1 r = interest n= years…
Q: e annual in
A: Given information : Effective annual interest rate = 8% Compounding period = 26 weeks
Q: Find the effective rate corresponding to the given nominal rate. (Use a 365-day year.) 8%/year…
A: Using excel Effective rate function
Q: mpoun
A: in this we need to find out effective rate and than find out nominal rate.
Q: An account pays 2.9% compounded continuously. What is the effective quarterly rate?
A: The continuously compounded rate, r = 2.9%So the impact of continuous compounding on an amount, A…
Q: Given i = 10% compounded quarterly. Find the effective interest rate if payments are made monthly.
A: Effective interest rate formula =1+rmm×t-1 Where r = rate of interest m = number of compounding in a…
Q: e annual rate for a nominal annual rate of 12% compounded monthly.
A: The given problem can be solved using EFFECT function in excel. EFFECT function computes effective…
Q: What is the APY of 7%, compounded monthly? Round your answer to the nearest hundredth of a percent.
A: The real interest that an investor earns on the investment and a borrower pays on loan after…
Q: In general, which rate yields the larger amount in one year? (A) 13% compounded semi-annually (B)…
A: The rate that would yield a higher value can be calculated by comparing the effective annual rate of…
Q: Determine the rate that represents the better deal. 9% compounded quarterly or 9 (1/4) , compounded…
A: Effective annual interest rate is the real rate that we earn on our savings or paid onto a loan when…
Q: What is the effective annual rate of 6%, compounded monthly? O 6.12% O 6.06% O 6.14% O 6.17% O 6.24%
A: Effective Annual rate The effective annual interest rate is that real return that is paid on the…
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- Find the nominal rate compounded semi annually which is equivalent to 20% compounded quarterly. What is the corresponding effective rate?Find the nominal rate that if converted quarterly could be used instead for 15% compounded semi-annually?Find the nominal rate compounded monthly which is equivalent to 12% compounded quarterly. What is the corresponding effective rate?
- What is the effective annual rate (EAR) for an annual percentage rate (APR) or a nominal annual rate of 12%, compounded semiannually? Compounded quarterly? Compounded monthly? Compounded daily? Compounded hourly?find the nominal rate which is converted quarterly could be used instead of 11.88% compounded monthly.Find the nominal rate compounded quarterly of 30 % compounded monthly.
- A financial institution quotes a rate of 6.45 percent compounded monthly.What is the effective rate for the year?if the nominal rate is 11.5% per year compounded continuously, what is the equivalent effective rate of interest per bi monthIf the nominal rate is 16.5% per year compounded quarterly, what is the equivalent effective rate of interest per three years
- What are the effective annual rates of the following: a) 12% APR compounded monthly? b) 16% APR compounded annually? c) 6% APR compounded daily?Consider an EAR of 13.75% with quarterly compounding. What is the APR ( annual percentage rate)?Which one of the following has the highest effective annual rate?A. 6 percent compounded monthly.B. 6 percent compounded quarterly.C. 6 percent compounded semiannually