1) Mark is looking to secure a small business loan. The first lender is offering 11% compounded weekly, whereas the second lender is offering 11.25% compounded semi-annually and the third lender is offering 11.6% compounded annually. Mark chose the loan that offers the lower effective rate. What is the effective rate of the loan that he chose?

2) Today Dante and Sharon had their first child and they want to begin savings for their childs education. With all the expenses of having a new child they feel they can only afford to put away $75 a month but they plan to continue doing so until the child turns 18. They are budgeting for an interest rate of 2.8%, compounded monthly. How much money will they have in the account by their childs 18th birthday?