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A firm had a Floating rate loan from a bank to be paid at maturity with the following data: a Loan amount = $100,000 =

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A firm had a Floating rate loan from a bank to be paid at maturity with the following data: a Loan amount = $100,000 = Time to Maturity = 90 days, year has 360 days. Interest rate = Prime Rate + 2% increment (risk premium). The prime rate is expected to have the following values: the prime rate = 7% for the first 30 days. the prime rate = 10% for the next 60 days. Using this information, answer each of the following questions: 0.2234564478 0.2235 A firm had a Floating rate loan from a bank to be paid at maturity with the following data: a Loan amount = $100,000 = Time to Maturity = 90 days, year has 360 days. Interest rate = Prime Rate + 2% increment (risk premium). The prime rate is expected to have the following values: the prime rate = 7% for the first 30 days. the prime rate = 10% for the next 60 days. Using this information, answer each of the following questions: 0.2234564478 0.2235

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