KING FAHD UNIVERSITY OF PETROLUEM AND MINERALS
Department of Mathematical Sciences
Math 131- Term 032
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Q1: Find the Dual of the following:
Minimize, subject to
Q2: Find the effective rate of interest that equivalent to a nominal rate of 5.5% compounded quarterly
Q3: A debt of $600 due in five years is to be repaid by a payment of $200 now and a second payment at the end of six years. How should the second payment be if the interest rate is 6% compounded quarterly?