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The annual effective discrete interest rate for the next year is 5% p.a. with one payment in arrears. During the year and beyond, interest rates
The annual effective discrete interest rate for the next year is 5% p.a. with one payment in arrears. During the year and beyond, interest rates are not expected to change. REQUIRED Q1/32 rate Calculate the equivalent semi-annual rate that generates the same annual equivalent Ans = 4.939% but the model answer is 4.940 (-90%)
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