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you can use the formulas above to solve the following. remember bi annual is every 2 years unlike semi annual which is twice PER year

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you can use the formulas above to solve the following. remember bi annual is every 2 years unlike semi annual which is twice PER year

If the effective annual interest rate is 15% then what is the equivalent:

a) Semi-annual rate compounded semi-annually

b) Annual rate compounded quarterly

c) Annual rate compounded continuously

d) Annual rate compounded every decade

e) Bi-annual rate compounded bi-annually

1st.:2nd.:Or:EAR=(1+r/m)m1EPR=(1+EAR)(1/s)1EPR=(1+r/m)(m/s)1

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