Revision as of 08:50, 18 November 2023 by Admin (Created page with "'''Solution: B''' Convert 9% convertible quarterly to an effective rate of j per month: <math display = "block"> (1+j)^{3}=\left(1+{\frac{0.09}{4}}\right)\,{\mathrm{or}}\,j=0.00744. </math> Then <math display = "block"> 2(Ia)_{\overline{60}|0.00744}=2{\frac{\ddot{a}_{\overline{60}|0.00744}-60\nu^{60}}{0.00744}}=2{\frac{48.6136-38.4592}{0.00744}}=2729.7. </math> {{soacopyright | 2023 }}")
Exercise
ABy Admin
Nov 18'23
Answer
Solution: B
Convert 9% convertible quarterly to an effective rate of j per month:
[[math]]
(1+j)^{3}=\left(1+{\frac{0.09}{4}}\right)\,{\mathrm{or}}\,j=0.00744.
[[/math]]
Then
[[math]]
2(Ia)_{\overline{60}|0.00744}=2{\frac{\ddot{a}_{\overline{60}|0.00744}-60\nu^{60}}{0.00744}}=2{\frac{48.6136-38.4592}{0.00744}}=2729.7.
[[/math]]
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