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1: What periodic payment does an investor receive from a $9000, four-year, monthly payment GIC earning a nominal rate of 2.25% payable monthly? (Only the
1: What periodic payment does an investor receive from a $9000, four-year, monthly payment GIC earning a nominal rate of 2.25% payable monthly? (Only the accrued interest is paid each month.)? Q-2: Suppose a bank quotes nominal annual interest rates of 3.6% compounded annually, 3.58% compounded semiannually, and 3.54% compounded monthly on five-year compound interest GICs. Which rate should an investor choose? Q-3: A $1000 face value Series P76 compound interest Canada Premium Bond (CPB) was presented to a credit union branch for redemption. What amount did the owner receive if the redemption was requested on: 1. November 1, 2015? 2. January 17, 2016? Q-4: A five-year promissory note with a face value of $3500, bearing interest at 11% compounded semiannually, was sold 21 months after its issue date to yield the buyer 10% compounded quarterly. What amount was paid for the
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