AHA!

What is the number of conversions if the conversion frequency is bimonthly?

• 1

• 4

• 6

• 12

How to compute for the compound interest given the maturity value and the present value?

• Subtract the present value by the maturity value

• Subtract the maturity value by the present value

• Multiply the maturity value by the present value

• Multiply the present value by the maturity value

What is the number of conversions if the conversion frequency is semi-annually?

• 2

• 4

• 1

• 12

What do you call the annual interest rate on which the compound interest calculation is based?

• Nominal interest rate

• Periodic interest rate

• Compound interest rate

• Simple interest rate

What is the number of compounding period (n) if the conversion period (m) is monthly and the time (t) is 10 years?

• 100

• 120

• 110

• 80