1. What’s the interest rate of a 5-year, annual $5,200 annuity with present value of $21,000?
2. Effective Annual Rate A loan is offered with monthly payments and a 9.5 percent APR. What's the loan's effective annual rate (EAR)?
3. Based on several studies, between 60% to 80% of corporate mergers decrease the wealth of the acquiring firm's shareholders(or increase wealth less than non-merging companies). What could account for this dismal record.