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- A certain nominal annual interest rate has an effective rate of 19.722% when compounded continuously. What is its effective rate if compounded bi-monthly? A. 19.87% B. 18.45% C 18% D. 19.41%Hello, I am unsure how to calculate the interest rates for this quetsion: Given that the annual rate compounded continuously is 12.5%, find the equivalent rateper: year compounded daily monthly compounded monthly year copounded every two yearsIf the stated annual rate of interest compounded semi-annually is 12.5% then what is the equivalent monthly rate compounded monthly?
- For any given interest rate, ________compounding will yield the highest effective annual rate. a) annual b) monthly c) daily d) continuous e) semiannualFind the effective annual rate associated with an 8% nominal rate when interest rate is compounded annuallyThe discount factor corresponding to a 3-year continuously compounded interest rate is 0.765667. What is the corresponding continuously compounded interest rate? What is the corresponding quarterly compounded interest rate expressed at an annual rate?
- Find the effective annual interest rate r of the given nominal annual interest rate. Round your answer to the nearest 0.01%. 12% compounded monthlyA nominal interest rate of 11.333%, continuously compounded, yields an effective annual interest rate of how much?What interest rate, compounded monthly, is equivalent to a 10.04% effective interest rate?
- A nominal interest rate of 12% per annum compounded monthly is equal to what nominal interest compounded semi-annually?If the nominal or headline rate of interest is 24%, what is the effective annual ratei. semi-annuallyii. quarterly Answer both.Suppose the inflation rate is compounded annually at 3% APR. Do you prefer compounded semiannually at 5% APR nominal interest rate or compounded quarterly at 2% real interest rate?