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Question 3 $5,000 is invested at an interest rate of 0.5% per month: .For five months, what is the nominal interest rate? . For five
Question 3 $5,000 is invested at an interest rate of 0.5% per month: .For five months, what is the nominal interest rate? . For five months, what is the effective interest rate? . For one year, what is the nominal interest rate? .For one year, what is the effective interest rate? Question 4 You invest $1,000 at 4% nominal interest rate compounded quarterly: What is your money worth at the end of 6 months? What is your money worth at the end of 5 years? . . Question 5 Your bank charges you interest on your home mortgage loan of 0.8% per month: What is the nominal interest rate? What is the effective interest rate? What is the Annual Percentage Rate (APR)
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