ACE Math - Online Formula Sheet - Modules 7&8 W2020 Module 7: Simple Interest I=PrtS=P(1+rt)P=1+rtsI=SP I: Amount of Interest (\$) S: Future Value (\$) P: Present Value (\$) r : Nominal rate of interest (\%) t: Time Module 8: Compound Interest FV=PV(1+i)nPV=FV(1+i)norPV=(1+i)nFVi=mjn=mtCI=FVPV FV: Future Value (\$) PV : Present Value (\$) j : Nominal interest rate (\%) m : Frequency of compounding periods per year i : Periodic interest rate (\%) t: Time (years) n : Total number of compounding period in the term CI: Compound Interest amount (\$) An investment is earning interest at 8.27% compounded monthly for 2 years and 5 months. (Round your answers to two decimal places if needed) a) What is the nominal interest rate per year (j)? % b) What is the number of compounding periods (compounding frequency) per year (m) ? c) What is the time period in years (t) ? years d) Calculate the periodic interest rate (i). % e) Calculate the number of compounding periods in the term (n)