Calculate the Equivalent Periodic Interest Rate Per Payment Interval for the Following

question 196

Multiple Choice

Calculate the equivalent periodic interest rate per payment interval for the following annuity: Monthly payments discounted at 11% compounded annually.

• A) 0.87346%
• B) 1.11572%
• C) 0.88793%
• D) 0.91667%
• E) 1.00078%

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Definitions:

Apical Dominance

The inhibition of axillary (lateral) buds by a shoot tip.

Determinate Growth

A growth pattern in plants and some animals in which growth stops after reaching a certain size or age.

Senescence

The aging process.

Germination

Resumption of growth of an embryo or spore; occurs when a seed or spore sprouts