Solved

A Car Insurance Company Charges You a Premium of $1452

Question 66

Multiple Choice

A car insurance company charges you a premium of $1452 a year for your car insurance policy.You have two options.Option 1 is to pay the $1452 in cash today.Option 2 is to make three payments of $499 at the following times: today,3-months from now and 6-months from now.What nominal rate of interest,j4,are you being charged?


A) 11.73%
B) 12.12%
C) 12.53%
D) 13.06%

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents