1) Refer to the previous problem. Find the interest if funds earn 8% compounded annually for 1 year
a. 4,800
b. 4,896
C. 4,945
d. 64.896
2) Which of the above investment has the higher yield? The investment computed in:
a simple annual interest rate
b.compound interest rate
c. both has the same yield
d. none of them
3) An amount of PHP 25,000 due in two years and 6 months and is worth 10% compounded quarterly. What is its nominal
rate?
a. 2.5%
b. 5%
c. 7.5%
d. 10%
4) What is the frequency of conversion to be used in problem number 21?
a. 2
b. 2.5
c. 4
d. 5​