Your bank is offering you an account that will pay $20\%$ interest in total for a two$-$year deposit. Determine the equivalent discount rate for a period of

$1$ month

$6$ months

$1$ year

You're looking to buy a car and you've been offered a loan with an APR of $7\%,$ with monthly payments What is the EAR of the loan?

You're considering $2$ ways to finance your spring break vacation. Use a credit card, at $15\%$ APR, compounded monthly or borrow from your parents, who will charge an $15\mathrm{.}4\%$ interest rate with payments every $6$ months.

Which is the better choice, from a financing perspective?

You receive a job offer with a bonus structure. For as long as you stay with the firm, you'll receive a bonus of $$70,000$ every $6$ years, with the first bonus occuring $6$ years from now. If you plan on working for the company for $42$ years and the interest rate is $5\%,$ what is the present value of your bonus?