Question
1. Part A Angelo Lemay borrowed $8000 from his credit union. He agreed to repay the loan by making equal monthly payments for five years.
1. Part A
Angelo Lemay borrowed $8000 from his credit union. He agreed to repay the loan by making equal monthly payments for five years. Interest is 9% compounded quarterly. Calculate the equivalent periodic rate of interest, p.
1.09
1.029142466571506
None
0.029142466571506
2. Part B
Angelo Lemay borrowed $8000 from his credit union. He agreed to repay the loan by making equal monthly payments for five years. Interest is 9% compounded quarterly. What is the total amount of the amortized loan?
$9026.2
None
$17026.2
$8000
3. PART A
A $50,000, five-year bond redeemable at par and bearing interest at 5% payable semi-annually is purchased at a market price of $50,000 one year and 6 months before maturity. Determine the maturity period of the bond.
Four years and six months
Five years
None
One year and 6 months
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