Question: You work for Sam, a financial planner. Sam has tasked you with evaluation the value of a proposal he has received. The proposal is an

You work for Sam, a financial planner. Sam has tasked you with evaluation the value of a proposal he has received. The proposal is an annuity that pays $90 every 6 months for 7 years. If the appropriate discount rate is an APR of 6.7% compounded monthly, what is the value of this proposal.

The present value is

$nothing.

(Round to the nearest cent.)

The effective interest rate for each 6-month period is

nothing%.

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