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A corporation is setting up a commercial paper issue for $35 million with a 30 day term at a discount rate of 3.825%. The annual
A corporation is setting up a commercial paper issue for $35 million with a 30 day term at a discount rate of 3.825%. The annual dealer fee is 55 basis points. The bank charges 75 basis points for the back-up line of credit on an annual basis. What is the effective rate the company is paying for this commercial paper? 5.13% 5.21% 3.89% 4.65%
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Mergers Acquisitions And Other Restructuring Activities
Authors: Donald DePamphilis
11th Edition
012819782X, 978-0128197820
