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1.) You are considering a car loan with a stated APR of 66% based on monthly compounding. What is the effective annual rate of this
1.) You are considering a car loan with a stated APR of 66%
based on monthly compounding. What is the effective annual rate of this loan?
2.) You are looking to buy a car and you have been offered a loan with an APR of 6% compounded monthly.
a. What is the true monthly rate of interest?
b. What is the EAR?
a. What is the true monthly rate of interest?
The monthly rate of interest is ___%. (Round to four decimal places.)
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