1) Calculate the periodic rate of the following: a

1) Calculate the periodic rate of the following:

a. 14% c.s.a
b. 11% c.q.
c. 9% c.m.
d. 6% c.a.

2. Calculate the nominal rate of the following:

a. 2% per month
b. 1.5% per quarter
c. 6.2% semi-annually

3. Calculate the effective rate of the following:

a. 4.5 c.s.a.
b. 6.5 c.m.

4. Calculate the equivalent nominal rate indicated:

a. 5.4% c.m. = __________ c.q.
b. 7% c.s.a. = __________ c.m.
c. 8 c.q. = ____________ c.s.a.

5. Calculate the maturity value of $3500 invested for 4 years at 9% c.q.

6. A debt of $3,500 accumulated interest at 4.5% compounded monthly for 1.5 years, after which
the rate changed to 4.0% compounded quarterly for the next nine months. What was the total
amount owed at the end of the entire period (27 months)?

7. What amount would have to be invested today for the future value to be $9,000 after 11 years if
the rate of return is 4% compounded semi-annually?

8. The maturity value of an investment after 24 months is $5700. What was the original
investment if it earned 6% compounded quarterly?

9. Calculate the nominal rate of interest of $8700 that matures to $9225.85 in 3 years
compounded quarterly.

10. What payment 3 ½ years from now would be a fair substitute for the combination of $2200 due
(but not paid) 6 months ago and $1300 due in 5 ¼ years, if money can earn 9% compounded
quarterly?

11. Calculate the term of a $2400 investment that matures at $3750 at with a nominal rate of 8%
c.m. Express your answer in years and months.