1. If the nominal interest rate of is 2% per quarter, what is the nominal rate per year? A) 0.5% B) 8% C) 16% D) 4% 2. $100 of interest is paid each month on an investment of $10000, if the interest is compounded monthly at the end of 2 years, what is the accumulation at the end of two years ? A) $12,544 B) $12,700 C) $12,400 D) $12,400 3. An individual wishes to deposit an amount of money now to have an accumulation of $500 at the end of five years. If the interest rate is at 4% per year, compounded semiannually, determine how much should be deposited ? A) $740.00 B) $337.80 C) $410.15 D) $454.54 4. A sum of $1,000 deposited at time "o" at an interest rate of 5.5 % per year compounded quarterly for 5 years, how much is the future worth of the deposit A) $1,314 B) $1,391 C) $1,252.50 D) $1,307