When Interest Is Calculated for Periods Shorter Than a Year,the

question 110

Multiple Choice

When interest is calculated for periods shorter than a year,the formula to calculate interest is:

• A)I = P x R x T,where I = interest calculated,P = principal,R = annual interest rate,and T = number of months.
• B)I = P x R x T,where I = interest calculated,P = principal,R = annual interest rate,and T = (number of months ÷ 12)
• C)I = P x R x T,where I = interest calculated,P = principal,R = monthly interest rate,and T = (number of months ÷ 12).
• D)I = (MV - P)/T,where I = interest calculated,MV = maturity value,P = principal and T = number of months.

---

Definitions:

Wagner

A reference to theories postulated by Robert A. Rescorla and Allan R. Wagner on conditioning processes, focusing on the associative strength between stimuli and responses.

Unconditioned Response

An automatic, natural response to an unconditioned stimulus that requires no learning.

Pavlov

A Russian physiologist best known for his work in classical conditioning, particularly with the conditioned response of salivation in dogs.

Conditioned Response

A learned reaction to a previously neutral stimulus due to repeated association with an unconditioned stimulus.