4.) Mary owes $4,000 on her credit card, which charges her a nominal rate of 17.8% per year, compounded monthly. What is the effective rate per year that the credit card company is charging her on the money she owes? (Express your answer as a percentage, and round your answer to two decimal places.)

Use just these formulas from this formula sheet!! Write it down which formula did you used, either write down the whole formula from the formula sheet which you are using or type the number which formula did you used. EXAMPLE: I used formula number 1,2,3,4,5,6,7,8 or 9. If you need to use more than one formula write it down for example " I used formula number 3 for this part of the problem and formula number 4 for that part of the problem" Solve the problems step by step. Show your calculation. DO NOT USE EXCEL, DO IT MANUALLY!! Thank you!!

FORMULA SHEET 1. SIMPLE INTEREST A = P. (1+rt) 2.COMPOUND INTEREST = P. (1+3) FUTURE VALUE and PRESENT VALUE for SINGLE DEPOSIT -nt 3, FV = pv. (1 + )" 4, PV = fv. (1+3) 5. EFFECTIVE RATE OF EFFECTIVE YIELD = (1+3)-1 APY = Pell FUTURE VALUE OF ORDINARY ANNUITY & MONTHLY PAYMENT FV(r) FV = A 7. A= (r) nt PRESENT VALUE OF ORDINARY ANNUITY & MONTHLY PAYMENT 8, pv=al- (1 1 * 9. A PV(r) (r) 1 - (1 + 3) "1 P.S: Use formulas just from these sheet and type which formula did you used. DO NOT USE ANY OTHER FORMULA. Because we have to show our work and results only through these formulas. Thank you