Your bank is offering you an account that will pay 19% interest (an effective two-year rate) in total for a two-year deposit. Determine the equivalent discount rate for the following periods: a. Six months b. One year c. One month (Note: Be careful not to round any intermediate steps less than six decimal places.) a. Six months The equivalent discount rate for a period length of six months is%. (Round to two decimal places.)
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- K Your bank is offering you an account that will pay 23% interest (an effective two-year rate) in total for a two-year deposit. Determine the equivalent discount rate for the following periods: a. Six months b. One year c. One month (Note: Be careful not to round any intermediate steps less than six decimal places.) a. Six months The equivalent discount rate for a period length of six months is%. (Round to two decimal places.)Your bank is offering you an account that will pay 25% interest (an effective two-year rate) in total for a two-year Determine the equivalent discount rate for the following periods: a. Six months b. One year c. One month (Note: Be careful not to round any intermediate steps less than six decimal places.) + a. Six months The equivalent discount rate for a period length of six months is%. (Round to two decimal places.) xample Get more help. A MacBook Pro P Clear all Final cYour bank is offering you an account that will pay 20% interest in total for a two-year deposit. Determine the equivalent discount rate for a period length of 1 year, 6 months, & 1 year?
- 3. Your bank is offering you an account that will pay 10% interest in total for a two-yeardeposit. Determine the equivalent discount rate for a period length of:a. Six months.b. One year.The final payment will be $______ (Round to the nearest cent.) Your bank is offering you an account that will pay 20% interest in total for a two-year deposit. Determine the equivalent discount rate for the following: a. Six months b. One year c. One month (Note: Be careful not to round any intermediate steps less than six decimal places.) a. Six months The equivalent discount rate for a period length of six months is _____%. (Round to two decimal places.) Part 2 b. One year The equivalent discount rate for a period length of one year is _____%. (Round to two decimal places.) Part 3 c. One month The equivalent discount rate for a period length of one month is ______%. (Round to three decimal places.)Your bank account pays interest with an EAR of 4%. What is the APR quote for this account based on semiannual compounding? What is the APR with monthly compounding? (Note: Be careful not to round any intermediate steps less than six decimal places.) What is the APR quote for this account based on semiannual compounding? The APR quote for the account with semiannual compounding is 3.96 %. (Round to three decimal places.) What is the APR with monthly compounding? The APR quote for the account with monthly compounding is %. (Round to three decimal places.)
- You have found three investment choices for a one-year deposit: 10.5% APR compounded monthly, 10.5% APR compounded annually, and 9.7% APR compounded daily. Compute the EAR for each investment choice. (Assume that there are 365 days in the year.) (Note: Be careful not to round any intermediate steps less than six decimal places.) The EAR for the first investment choice is%. (Round to three decimal places.) example Get more help. A MacBook Pro ch or enter website name Clear all 19 Check answer BIa. A Visa credit card issued through Frost Bank carries an interest rate of 1% per month on the unpaid balance. Calculate the effective rate per semiannualand annual periods.b. If the card’s interest rate is stated as 3.5% per quarter, find the effectivesemiannual and annual rates.A bank offers the following interest rates on your deposit: (Draw the Cashflow) 10% per year, compounded quarterly 9% per year, compounded monthly (a) Determine the effective rate for each on the basis of semiannual periods. (b) What are the effective annual rates? (c) Which bid has the lowest effective annual rate?
- You are able to make a current deposit in the amount of $21,605.49. The expected discount rate is 9.6%. Interest is earned on an annual basis. The time period is 10 years. What is the size of the annual withdrawal possible under these circumstances? a. $2,160.54 b. $3465.00 c. $3,456.00 d. $4,356.00Suppose you have received a credit card offerfrom a bank that charges interest at 1.4% per month,compounded monthly. What is the nominal interest(annual percentage) rate for this credit card? What isthe effective annual interest rate?A firm sells its accounts receivables to a factor at a 3.5% discount. The average collection period is 3 month. a. What is the effective annual interest rate on this arrangement? (Round your answer to 2 decimal places.) b. What is the implicit effective annual interest rate if the average collection period is 5 months? (Round your answer to 2 decimal places.)