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What is the effective annual rate (EAR or EFF%)? What is the EFF% for a nominal rate of 10%, compounded semiannually? Compounded quarterly? Compounded monthly?

  1. What is the effective annual rate (EAR or EFF%)? What is the EFF% for a nominal rate of 10%, compounded semiannually? Compounded quarterly? Compounded monthly? Compounded daily? Please show 2 decimal places for the percentage.

  1. Construct an amortization schedule for a $1,000, 8% annual rate loan with 5 equal installments. Do this in Excel.

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