You have just passed ACST1001 and started a summer internship at Harrison Bank, with Peter as your supervisor. As your first task, Peter has given you some client accounts and asked you to verify some of the details.

The first file is for a client named Mary, who has a mortgage with the bank. You go through the file and note the following information for Mary's mortgage

• Initial loan: $730,000
• Term of loan: 30 years
• Repayment frequency: End of each fortnight
• Interest rate on loan: i12= 4.9%

1. The interest rate for Mary's loan is i12=4.9%. Calculate the effective monthly rate. Give your answer as a percentage to 4 decimal places, and do NOT include a percentage sign.