Q: An interest rate of 10% compounded monthly is given, compute for the interest rate per period? O…
A: The periodic rate equals the annual interest rate divided by the number of periods
Q: What nominal annual discount rate compounded semiannually is equivalent to a nominal rate of…
A: Nominal Interest Rate: When the market inflation is not taken into consideration while computing the…
Q: Which of the following has the most effective annual rate of interest? 12.15% compounded…
A: Effective Annual Rate of Interest: An effective annual interest rate is the true return on a savings…
Q: What is the nominal rate if the effective rate is15.32% compounded semi-annually?
A: Effective annual rate (EAR) refers to a real interest rate which an investor is expect from his…
Q: Considering an interest rate i=14% per year, what is the compound interest rate equivalent to the…
A: Interest rate is 14% per year To Find: Equivalent compounded interest rate for 45 days Equivalent…
Q: What is the simple interest on ₱ 30,000 for six months at a simple interest rate of 12% . What is…
A: Simple interest is interest on investment without any compounding. Compound interest is the interest…
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: How much do ten P 4,533 quarterly payments amount at present, if the interest rate is 2 compounded…
A: The amount of payments made at the beginning of each year is termed as an annuity due. It indicates…
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: 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 is the effective annual rate of interest if $1200.00 grows to $1500.00 in two years compounded…
A: Effective Annual Rate: It is the real rate of return paid on a loan or earned on an investment,…
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: What effective annual interest rate to the nominal interest rate of 6% compounded monthly?
A: Interest rate (r) = 6% Number of compounding per year (m) = 12
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 nominal interest rate per year is equivalent to an effective 18% per year compounded…
A: Given: Effective interest rate = 18% Compounding semi annually
Q: What is the annual effective interest rate equivalent to a nominal rate of 12 percent a year? Yanıt:
A: The effective rate of interest is an important technique in the case of multi-period compounding. If…
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: How much do eight P 41,141 quarterly payments amount at present, if the interest rate is 4…
A: The present value is the value of the sum received at time 0 or the current period. It is the value…
Q: What nominal interest rate compounded quarterly is equivalent to a nominal discount rate of 12%…
A: The nominal interest rate is the interest rate before taking inflation into account, in contrast to…
Q: What is the effective interest rate per month if the interest rate is 9% compounded continuosly?
A: The effective interest rate is the actual return on a savings account or any other interest bearing…
Q: The annual interest rate is 12%. Find (a) the semi-annual rate, (b) the quarterly rate, (c) the…
A: semi-annual rate is the rate that is compounded twice a year (i,e) for every six months is called…
Q: find the nominal annual rate of interest compounded semi-annually that is equivalent to 8.6%…
A: The effective annual rate of interest is the actual or the real rate of interest paid or received…
Q: What is the corresponding effective interest rate of 18% compounded semi-annually?
A: The effective interest rate is the real return earned on an interest-paying investment or savings…
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: What is the term if the final amount is P7,321 and the principal is P2,500 at 15% compound interest…
A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…
Q: Find the nominal interest rate compounded quarterly which could be used instea compounded monthly.…
A: In this we have to find effective interest rate in both cases and find equivalent rate.
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: What is the rate of interest per interest period if the nominal rate of interest is 25% compounded…
A: nominal rate of interest = 25% Compounded monthly No. of period = 12
Q: What effective interest rate per year is equivalent to 19% per year compounded quarterly?
A: Formula for effective rate of interest = (1+i/n)n-1…
Q: What is the equivalent simple interest (yield) for an investment of 8 % compounded quarterly? Round…
A: Effective Annual Rate The effective annual rate of interest is the actual or the real rate of…
Q: Find the nominal annual rate of interest compounded quarterly
A: Nominal rate of interest is provided by Banks. It is a rate that considers inflation. Compounding…
Q: What is the effective interest rate per quarter if the interest rate is 10% compounded monthly?
A: The real interest that an investor earns on the investment and a borrower pays on loan after…
Q: What is the interest if $200 is borrowed for 24 months at 10% simple interest? Interest = $
A: Given Principal = $200 Rate = 10%
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: ompute the quarterly interest rate concerning an effective annual rate of 14% and a nominal annual…
A: The nominal interest is interest rate without considering the impact of compounding and effective…
Q: An interest rate of 10% compounded semianually is equivalent to how many percent compounded…
A: Effective Annual Interest rate(EAR) refers to the real rate of return that we earn on our savings or…
Q: What is the uniform annual equivalent if the interest rate is 7% per year?
A: Uniform Annual Equivalent Payment: It is one of the methods used in capital budgeting for the…
Q: If the interest bearing account yielded an effective interest rate of 9% what would nominal rate,…
A: The question is based on the concept calculation of effective interest rate (EIR) of quarterly…
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: If the annual interest rate is 19%, what is the quarterly interest rate? 4+ decimals
A: Data given Annual Interest Rate (i)= 19% Simple Interest Rate -To convert annual interest rate into…
Q: How much is ₱1,200 worth at the end of 1 year if the interest rate of 5.5% is compounded quarterly?
A:
Q: If the interest rate is 12% compounded quarterly, what is the interest rate per conversion period?
A: The conversion period for the interest rate is the period in which the interest rate gets…
Q: How much do ten ₱ 6,945 quarterly payments amount at present,
A: Time Value of Money (TVM) concept is used to discount the future cash flows or to compound the…
Q: What is the effective annual rate of a savings account with an annual interest rate of 5.9%…
A: Effective annual interest rate is referred as the interest rate which is adjusted for compounding…
What interest rate compounded monthly is equivalent to an interest rate of 14% compounded quarterly?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- Define the stated (quoted) or nominal rate INOM as well as the periodic rate IPER. Will the future value be larger or smaller if we compound an initial amount more often than annually—for example, every 6 months, or semiannually—holding the stated interest rate constant? Why? What is the future value of $100 after 5 years under 12% annual compounding? Semiannual compounding? Quarterly compounding? Monthly compounding? Daily compounding? What is the effective annual rate (EAR or EFF%)? What is the EFF% for a nominal rate of 12%, compounded semiannually? Compounded quarterly? Compounded monthly? Compounded daily?what nominal rate of interest compounded monthly is equivalent to 12% per annum compounded quarterly?What is the effective rate (annually compounded rate) of interest corresponding to 9% compounded quarterly? What is the equivalent monthly rate?
- A nominal interest rate of 12% per annum compounded monthly is equal to what nominal interest compounded semi-annually?What is the nominal rate of interest compounded semi annually which is equal to 8.65% compounded quarterly in percent?What is the effective annual interest rate when 12% per year is compounded quarterly? 0.13 or 0.23?
- For an effective interest rate of 16% per annum, what is the equivalent nominal annual rate compounded semiannually? And quarterly ?And monthly ?An interest rate is quoted as 3.75% per year compounded quarterly. What is the effective daily rate?If the stated annual rate of interest compounded semi-annually is 12.5% then what is the equivalent monthly rate compounded monthly?
- An interest rate of 6% compounded semiannually is equivalent to what rate compounded monthly?What nominal annual discount rate compounded semiannually is equivalent to a nominal rate of interest of 12% compounded monthly?if the nominal rate is 11.5% per year compounded continuously, what is the equivalent effective rate of interest per bi month