# 1) For an effective annual rate i_{a} of 15.87% compounded quarterly, determine (a) the effective...

## Question:

1) For an effective annual rate i_{a} of 15.87% compounded quarterly, determine (a) the effective quarterly rate and (b) the nominal annual rate?

2) What effective interest rate per quarter is equal to a nominal 1.6% per month, compounded continuously?

## Deregulation:

Deregulation is the process of reducing or removing public regulations in the economic sphere. It is the removal of public regulation in the economy. In it the laissez-faire policy exists, and there is no government regulation over the price and output levels.

## Answer and Explanation: 1

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View this answer1. The effective annual interest rate (r) is 15.87% compounded quarterly. So n is 4 (number of times interest received).

The effective quarterly...

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Chapter 50 / Lesson 2Unit rates can be helpful for anyone trying to figure out miles per hour, earnings per year, or practically any other amount of one unit it takes for something to happen in other units. In this lesson, take a look at what a unit rate is, why people use unit rates, finding the unit rate, and an example of unit rates.