Calculate the periodic interest rate that matches the payment interval for each annuity (to the nearest 0.001%):

Periodic Interest Rate

The interest rate charged or earned over a specific period of time, often used in the context of loans or investments.

Annuity

An investment plan that entails fixed payments to beneficiaries, mainly to serve as an income source for those who have retired.

Payment Interval

The periodicity of payments being made or received, for example, on a monthly, quarterly, or yearly basis.

Master the technique of computing the periodic interest rate for a range of annuities.

Verified Answer

Final Answer :

0.776% per month

Learning Objectives

Master the technique of computing the periodic interest rate for a range of annuities.