Chuck has $2,500 invested in a bank that pays 4% semiannually. How long will it take for his funds to double? *

16.79(or close value)

15.15(or close value)

14.39(or close value)

17.67(or close value)

15.95(or close value)

Carter's preferred stock pays a dividend of $1.00 per quarter. If the price of the stock is $45.00, what is its nominal (not effective) annual rate of return? *

8.03%

8.45%

8.67%

8.89%

8.24%

5-year Treasury bonds yield 5.5%. The inflation premium (IP) is 1.9%, and the maturity risk premium (MRP) on 5-year bonds is 0.4%. What is the real risk-free rate, r*? *

2.88%

3.87%

2.59%

3.20%

3.52%