You are considering a car loan with a stated APR of $6$ coss based on montlyy compounding. What is the eflective annual rate of this loan? $($Nofer Be careful nof to round ary intormedate tteps less than six decimal places.$)$

You are looking to buy a car and you have beeri offered a loan with an APR of $6\mathrm{.}0\%,$ compounded monthly.

a$.$ What is the true monthly rate of interest?

b$.$ What is the EAR?

$($Note: Be careful not to round any intermediate steps less than six decimal places.$)$

You have found three investment choices for a $$ne$-$year deposit $10\mathrm{.}0\%$ APR compounded monthly, $10\mathrm{.}0\%$ APR compounded annually. and $9\mathrm{.}05$ APR compounded daily: Compute the EAR for each investment choice. $($Assume that there are $365$ days in the year.$)($Note: Be corcull not to round any insermediate steps less tran six decimal places.$)$

Suppose Capital One is advortising a $60-$month, $5\mathrm{.}99\%$ APR motorcycle loan. If you need to borrow $$8,000$ to purchase your dream Harley.Owidson, what will be your monthly payment? $($Note: Be careful not to round any intermedazo steps less than sic decimal places.$)$

You have decided to refinance your mortgage. You plan to borrow whatever is outstanding on your current morgage. The curnent monthly paymert is $$2,356$ co and you have made every payment on time. The original term of the morlgage was $30$ years, and the mortgage is exaclly four years and eight months cid. You have jast made your monthly payment. The mortgige interest rate is $6\mathrm{.}375\%($APR$).$ How much do you owe on the mortgage today? $($Nore: Be caretul nol is round any intermedate steps less than six decimal places.$)$

You have just sold your house foe $$1,000,000$ in cash. Your mortgago was criginaly a $30-$year mongoge with montly payments and an intial bolance of $$800,$ co$0.$ The mortgage is currently exactly $18\mathrm{.}5$ yoars old, and you have just made a payment. It the interest rate on the mortgage is $5\mathrm{.}25\%($APRQ$,$ how much cash will you have from the sale once you pay off the morlgage? $($Note: Be carefdl not to round any intermediate steps less than six decimal places.$)$

If the rate of inflation is $5\mathrm{.}07\%,$ what nominal interest rate is moessary for you to eam a $3\mathrm{.}55\%$ real interest rate on your investment? $($Note: Be careful not to round any intermediate steps loss than sic decimal places.$)$

If the curtent inflason rate is $2\mathrm{.}20\%$ and you have an imestment copontunty that pays $8\mathrm{.}10\%,$ then the real rate of interest on your investrent is clobest to

$$ A$.5\mathrm{.}80\%$

$$ B$.9\mathrm{.}20\%$

$$ C$.8\mathrm{.}10\%$

$$ D$.6\mathrm{.}90\%$