This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: For a nominal interest rate of 9%, what is the compounding frequency if the periodic interest is 0.75%? (Read 207 times)

BRWH

  • Hero Member
  • *****
  • Posts: 553
on: Jun 6, 2019

Question 1

Sagheer received two offers for his property that he is selling. Offer 1 consists of $700 000 immediately and offer 2 consists of $500 000 now and $110,000 per annum for the next 2 years. If money earns 6% compounded semi-annually, which offer has a better economic advantage and by how much. Assume no inflation or discount?
◦ Offer 2 is better by ~$1600
◦ Offer 1 is better by ~$1600
◦ Offer 2 is better by ~$5100
◦ Offer 1 is better by ~$5100
◦ Offer 2 is better by ~$20 000

Question 2

For a nominal interest rate of 9%, what is the compounding frequency if the periodic interest is 0.75%?
◦ 12
◦ 8
◦ 24
◦ 6
◦ 1
Contemporary Business Mathematics with Canadian Applications ¦ Hummelbrunner, Halliday, Coombs ¦ 11th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by BRWH on Jun 6, 2019

gasdhashg

  • Sr. Member
  • ****
  • Posts: 335
Reply #1 on: Jun 6, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 49% of students answer this correctly


BRWH

  • Hero Member
  • *****
  • Posts: 553
Reply #2 on: Jun 6, 2019
Thank you!


gasdhashg

  • Sr. Member
  • ****
  • Posts: 335
Reply #3 on: Jun 6, 2019
Always glad to help...


« previous next »
 

Did you know?

Though newer “smart” infusion pumps are increasingly becoming more sophisticated, they cannot prevent all programming and administration errors. Health care professionals that use smart infusion pumps must still practice the rights of medication administration and have other professionals double-check all high-risk infusions.

Did you know?

Acetaminophen (Tylenol) in overdose can seriously damage the liver. It should never be taken by people who use alcohol heavily; it can result in severe liver damage and even a condition requiring a liver transplant.

Did you know?

Approximately 500,000 babies are born each year in the United States to teenage mothers.

Did you know?

Street names for barbiturates include reds, red devils, yellow jackets, blue heavens, Christmas trees, and rainbows. They are commonly referred to as downers.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

Periodic Table Tattoo Periodic Table Tattoo
Influence of enzyme-substrate affinity on the rate of an enzyme-catalyzed reaction. Influence of enzyme-substrate affinity on the rate of an enzyme-catalyzed reaction.
Record the AC frequency as shown on the meter and subtract 50 from the reading (e.g., 60.50 -50.00 = ... Record the AC frequency as shown on the meter and subtract 50 from the reading (e.g., 60.50 -50.00 = ...
The rate of facilitated diffusion The rate of facilitated diffusion
Determining the order and rate constant of an irreversible first-order reaction Determining the order and rate constant of an irreversible first-order reaction
Calculate the amount of interest that will be charged on $9000.00 borrowed for four months at ... Calculate the amount of interest that will be charged on $9000.00 borrowed for four months at ...
Video: Mendel's Principles of Inheritance (Father of Genetics)

For a complete list of videos, visit our video library