SOA Exam FM Sample Question 3
Study guide: Exam FM-2
Eric deposits 100 into a savings account at time 0, which pays interest at an annual nominal rate of i, compounded semiannually.
Mike deposits 200 into a different savings account at time 0, which pays simple interest at an annual rate of i.
Eric and Mike earn the same amount of interest during the last 6 months of the 8th year.
Calculate i.
- A) 9.06%
- B) 9.26%
- C) 9.46%
- D) 9.66%
- E) 9.86%
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