KING FAHD UNIVERSITY OF PETROLUEM AND
MINERALS
Department of Mathematical Sciences
Math 131- Term 032
Quez#2(a)
Name: ID#: Sec#: Sr#:
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?