Reference no: EM132904701
Problem 1: The effective annual rate is the rate without considering compounding.
a) True
b) False
Problem 2: Determine the correct relationship between all shareholders and stakeholders:
a) Stakeholders are broader than shareholders.
b) Both of them are owners in a company.
c) Both of them mean the same thing.
d) Both of them work for the company they are a part of.
Problem 2: Which of the following arrangements for a Rs.1,000 CD yields the largest terminal (future) value?
a) 9.65% compounded daily
b) 9.75% compounded monthly
c) 10.00% compounded semiannually annually
d) 10.2% compounded annually