What is the effective annual percentage rate

Assignment Help Finance Basics

Reference no: EM132064821

Question: 1. You put your money in a passbook savings account in which the interest rate is 4.2% per year compounded daily. What is the effective annual percentage rate?

2. How much money would be accumulated in 8 years if an investor deposits $2, 500 now at a nominal interest rate of 8% per year compounded semiannually?

3. If a person made a lump-sum deposit 12 years ago which has accumulated to $9, 500 now, how much was the original deposit if the interest rate received was a nominal' 4% per year compounded monthly?

Reference no: EM132064821

Questions Cloud

Disaster recovery plan of a company : The Disaster Recovery Plan Paper. You will write a Disaster Recovery Plan of a company of your choosing.

At what price will the bond sell : The yield to maturity on 1-year zero-coupon bonds is currently 8.5%; the YTM on 2-year zeros is 9.5%.

The pharmacist at arnold palmer : The pharmacist at Arnold Palmer? Hospital, Wende? Huehn-Brown, receives 1212 requests for prescriptions each?

Demand for its products and its marketing communications : Think about recommendations you would make with regard to market research for Anthony's Orchard and how those recommendations might impact

What is the effective annual percentage rate : You put your money in a passbook savings account in which the interest rate is 4.2% per year compounded daily. What is the effective annual percentage rate?

Compute the realized rate of return for an investor : Yield to call Six years ago the Templeton Company issued 25-year bonds with a 14% annual coupon rate at their $1,000 par value.

What was the total number of t-shirts and shorts sold : If total sales were $1,040 and people bought 4 times as many T-shirts as shorts, what was the total number of T-shirts and shorts sold?

What is the appraisal value of this property : What is the appraisal value of this property using the income capitalization approach?

Nature of competition in industry : What do these factors tell you about the nature of competition in each industry? What are the implications for the company in terms of opportunities and threat

User Account

All Pages