If you invest $131,300 in a project which yields an annual return of $17,500, how many years will it take to recover your investment if the annual interest rate is 6.5%? O a. 12 O b. 10 O .9 O d. 13 O ell What is the simple interest rate that will triple an investment (make it three times as much) in 9 years? O a. 12.98% O b. 8.01% O c. 22.22% O d. 33.33% O e. 11.11% If the effective annual interest rate is 12.82% and the nominal annual rate is 12.25%, compounding is: O a. Semi-annual O b. Quarterly O c. Bi-monthly O d. Continuous 0OMonthly

EBK CONTEMPORARY FINANCIAL MANAGEMENT
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Author:MOYER
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Chapter5: The Time Value Of Money
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If you invest $131,300 in a project which yields an annual return of $17,500, how many years will it take to recover
your investment if the annual interest rate is 6.5%?
O a. 12
O b. 10
O .9
O d. 13
O e.11
What is the simple interest rate that will triple an investment (make it three tìmes as much) in 9 years?
O a. 12.98%
O b. 8.01%
O c. 22.22%
O d. 33.33%
O e. 11.11%
If the effective annual interest rate is 12.82% and the nominal annual rate is 12.25 %, compounding is:
O a. Semi-annual
O b. Quarterly
O C. Bi-monthly
O d. Continuous
Monthlu
Transcribed Image Text:If you invest $131,300 in a project which yields an annual return of $17,500, how many years will it take to recover your investment if the annual interest rate is 6.5%? O a. 12 O b. 10 O .9 O d. 13 O e.11 What is the simple interest rate that will triple an investment (make it three tìmes as much) in 9 years? O a. 12.98% O b. 8.01% O c. 22.22% O d. 33.33% O e. 11.11% If the effective annual interest rate is 12.82% and the nominal annual rate is 12.25 %, compounding is: O a. Semi-annual O b. Quarterly O C. Bi-monthly O d. Continuous Monthlu
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