{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

EXAM 1 PAPER version 2 - Name Personal ID Version BBAD2...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Name___________________________________ Personal ID # _______________________ Version: BBAD2 FINA 3313 FIRST TERM EXAM YOU WILL BE GRADED BASED ON YOUR ANSWER ON THE SCANTRON SHEET. THERE ARE 30 QUESTIONS CARRYING EQUAL POINTS EACH. RETURN THE SCANTRON SHEET AND KEEP EXAM PAPERS YOURSELF REMEMBER TO WRITE YOUR NAME ON SCANTRON SHEET. REMEMBER TO WRITE YOUR NAME ON QUESTION PAPER & FORMULA SHEET. YOU MAY WISH TO WRITE YOUR ANSWERS ON THE QUESTION PAPER FOR YOUR REFERENCE ONLY. THEY CANNOT BE USED FOR GRADING. MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1. The concept of compound interest refers to: A. earning interest on the original investment. B. payment of interest on previously earned interest. C. investing for a multi-year period of time. D. determining the APR of the investment. 2. A credit card account that charges interest at the rate of 1.25% per month would have an annually compounded rate of _______ and an APR of _______. 3. Given a set future value, which of the following will contribute to a lower present value? 4. A stream of equal cash payments lasting forever is termed:
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
5. Your car loan requires payments of $200 per month for the first year and payments of $400 per month during the second year. The annual interest rate is 12% and payments begin in one month. What is the present value of this two-year loan? A. $6,246.34 B. $6,389.78 C. $6,428.57 D. $6,753.05
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}