Explanation calculate the nominal rate interest compounded semi-annually

2. 5.25%

3. 2.625%

Explanation:

To calculate the nominal rate of interest compounded semi-annually, we can use the formula:

r = Nominal interest rate (annual rate)

n = Number of compounding periods per year

t = 78 months / 12 months/year = 6.5 years

n = 2 (compounded semi-annually)

Converting this to a percentage, the nominal rate of interest compounded semi-annually is approximately 5.25%.

Therefore, the correct answer is B. 5.25%.