An interest rate is 5% per annum with continuous compounding. what is the equivalent rate with semiannual compounding? a. 5.06% b. 5.03% c. 4.97% d. 4.94%

The effective rate with continuous compounding is

... R = (e^r) -1

... R = e^.05 -1 ≈ 5.1271%

The effective rate with semiannual compounding is

... R = (1 +r/2)² -1

We want these to be the same, so we want ...

... 0.051271 = (1 +r/2)² -1

... √1.051271 = 1 +r/2

... r = 2(√1.051271 -1) ≈ 5.063%

The best choice is ...

... a. 5.06%

total amount of money that he should pay if he has not used his duty free exemption is $98

step-by-step explanation:

given a united states citizen returning to the states declares the following items at the customs office: 3 shirts at $8.50 each 2 dresses at $27.50 each 1 pair of gold cuff links at $17.50 per pair. we have to find how much he pay

cost of 3 shirts if one cost at $8.50 is

cost of 2 dresses if one cost at $27.50 is  

cost of 1 pair of gold cuff at $17.50

so, total amount of money that he should pay if he has not used his duty free exemption is   $25.5+$55+$17.50=$98

the answer is a beach is the best place to be