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

Author Question: You have some money on deposit in a bank account which pays a nominal (or quoted) rate of 8.0944 ... (Read 37 times)

jilianpiloj

  • Hero Member
  • *****
  • Posts: 521
on: Apr 25, 2021

Question 1

You have just borrowed $20,000 to buy a new car. The loan agreement calls for 60 monthly payments of $444.89 each to begin one month from today. If the interest is compounded monthly, then what is the effective annual rate on this loan?
◦ 12.68%
◦ 14.12%
◦ 12.00%
◦ 13.25%
◦ 15.08%

Question 2

You have some money on deposit in a bank account which pays a nominal (or quoted) rate of 8.0944 percent, but with interest compounded daily (using a 365 day year). Your friend owns a security which calls for the payment of $10,000 after 27 months. The security is just as safe as your bank deposit, and your friend offers to sell it to you for $8,000. If you buy the security, by how much will the effective annual rate of return on your investment change?
◦ 1.87%
◦ 1.53%
◦ 2.00%
◦ 0.96%
◦ 0.44%
Corporate Finance Online ¦ Eakins, McNally ¦ 2nd Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by jilianpiloj on Apr 25, 2021

macagnavarro

  • Sr. Member
  • ****
  • Posts: 334
Reply #1 on: Apr 25, 2021
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 55% of students answer this correctly


jilianpiloj

  • Member
  • Posts: 521
Reply 2 on: Apr 25, 2021
Excellent

samiel-sayed

  • Member
  • Posts: 337
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Many people have small pouches in their colons that bulge outward through weak spots. Each pouch is called a diverticulum. About 10% of Americans older than age 40 years have diverticulosis, which, when the pouches become infected or inflamed, is called diverticulitis. The main cause of diverticular disease is a low-fiber diet.

Did you know?

In 1864, the first barbiturate (barbituric acid) was synthesized.

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?

For about 100 years, scientists thought that peptic ulcers were caused by stress, spicy food, and alcohol. Later, researchers added stomach acid to the list of causes and began treating ulcers with antacids. Now it is known that peptic ulcers are predominantly caused by Helicobacter pylori, a spiral-shaped bacterium that normally exist in the stomach.

Did you know?

The familiar sounds of your heart are made by the heart's valves as they open and close.

Enzymatic features of DNA polymerase that account for its inability to copy one of the DNA strands a Enzymatic features of DNA polymerase that account for its inability to copy one of the DNA strands a
Variation in the rate of evolution as a function of the strength of selection, assuming genetic drif Variation in the rate of evolution as a function of the strength of selection, assuming genetic drif
Exercise increases the heart rate. Exercise increases the heart rate.
Acceptable ranges of heart rate Acceptable ranges of heart rate
Saving Rate by Decile of Income per Capita Saving Rate by Decile of Income per Capita
The Economics of Money, Banking and Financial Markets, Business School Edition The Economics of Money, Banking and Financial Markets, Business School Edition
Video: Hormonal feedback loop components

For a complete list of videos, visit our video library