A five-year loan for $500,000 with a 10% interest rate requires that 3 points be paid up

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A five-year loan for $500,000 with a 10% interest rate requires that 3 points be paid up front. What is the effective interest rate of this loan?

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Hospitality Financial Management

ISBN: 9780471692164

1st Edition

Authors: Agnes L DeFranco, Thomas W Lattin

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Question Posted: Jul 10, 2024 02:03 AM

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A five-year loan for $500,000 with a 10% interest rate requires that 3 points be paid up

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Hospitality Financial Management

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