What nominal interest rate compounded quarterly would place investors in exactly the same financial position as 6.55% compounded annuallly?

Select one:

a. 6.70%

b. 6.39%

c. 6.71%

d. 6.66%

e. 6.44%

What single payment today would replace a payment stream of $50,000 that will be paid today, again at the end of year 1, and again at the end of year 2, if money earns 4% compounded semi-annually?

Select one:

a. $85,865.39

b. $94,384.98

c. $97,484.92

d. $98,058.44

e. $93,485.53