Answer:
16.67% and 17.36%
Explanation:
The computation is shown below:
Nominal annual interest rate is
Let us assume the nominal annual interest rate be X%
$12,000 × X% × 6 months ÷ 12 months = $13,000 - $12,000
$12,000 × X% × 6 months ÷ 12 months = $1,000
$6,000 × X% = $1,000
So X% is 16.67%
i.e nominal interest rate is 16.67%
Now the effective annual interest rate is
= (1 + 16.67% ÷ 2)^1 × 2 - 1
= (1 + 0.08335)^2 - 1
= 1.1736472225 - 1
= 17.36%
