1) First National Bank charges 14.5 percent compounded monthly on its busin

1)

First National Bank charges 14.5 percent compounded monthly on its business loans. First United Bank charges 14.8 percent compounded
semiannually.

Calculate the EAR for First National Bank and First United Bank. (Do not round intermediate calculations and
round your final answers to 2 decimal places. (e.g. 32.16))
2)oints
An investment will pay you $53000 in 11 years. If the appropriate discount rate is 8 percent compounded daily
what is the present value? (Use 365 days a year. Do not round intermediate
calculations and round your final answer to 2 decimal places. (e.g. 32.16))