37-38 37. A nominal rate of 15% compoundedmonthly is equal to what effective rateof interest.18.95%15.75%16.08%17.50%38. A company deposits P50,000 at thebeginning of each 6 months in a bankfor the purpose of accumulating a fundto purchase machinery in case of abreakdown in its plant. How much is inthe fund when it is needed at the endof 6 years if money accumulates at 5%compounded semi-annually?707,022.09O 710,909.00

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37. A nominal rate of 15% compounded monthly is equal to what effective rate of interest. 18.95% 15.75% 16.08% 17.50%

ENGR.ECONOMIC ANALYSIS

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ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

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Question

37-38

37. A nominal rate of 15% compounded
monthly is equal to what effective rate
of interest.
18.95%
15.75%
16.08%
17.50%
38. A company deposits P50,000 at the
beginning of each 6 months in a bank
for the purpose of accumulating a fund
to purchase machinery in case of a
breakdown in its plant. How much is in
the fund when it is needed at the end
of 6 years if money accumulates at 5%
compounded semi-annually?
707,022.09
O 710,909.00

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