Tight bounds for the effective interest rate under the German decree on the quotation of prices in an annuity problem (Q2746152)

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scientific article; zbMATH DE number 1655558
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Tight bounds for the effective interest rate under the German decree on the quotation of prices in an annuity problem
scientific article; zbMATH DE number 1655558

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    10 March 2002
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    annuity
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    effective interest rate
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    PAngV
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    Tight bounds for the effective interest rate under the German decree on the quotation of prices in an annuity problem (English)
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    The effective interest rate \(j\) of an annuity is determined via a certain root of a certain polynomial. Now the annuity's parameters are changed to increase the number of payment rates while reducing their size by the same factor. This paper gives tight bounds for the resulting new \(j\) under the German decree on the quotation of prices (the PAngV).
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