Find the nominal annual rate on credit card

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What is the future value on Decemebr 31st of the following cash flows: $100 received at the end of January, $30 received at the end of April, $400 received at the end of August and an outflow of -$90 at the end of December? You can use the nominal annual interest rate of 2% compounded quarterly.

How much would $5,000 due in 4 years be worth today if the interest rate is 2% compounded seminannually?

Find the nominal yield on a 2 year corporate bond if the maturity risk premium increases by 0.2% per year, expected inflation rate is 3% this year and 5% the next year, the default risk premium is 1.9% and the liquidity risk premium is 0.4%. Risk free rate will remain at 2%.

Suppose you receive annuity due of $50 per year for 7 years. The interest rate is 7% compounded daily (use 365 days per year). What is the current value of this stream of payments?

The 5 year corporate bond yields 7% per year and the 5 year Treasury bond yields 5%. If the liquidity premium on the corporate bond is 0.3%, find the default risk premium on the corporate bond.

Find the nominal annual rate on your credit card if the effective annual rate is 19% with monthly compounding.

Reference no: EM132444375

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