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A loan that compounds interest monthly has an EAR of 12.90 percent. What is the APR? O a. 13.53 percent O b. 11.57 percent O
A loan that compounds interest monthly has an EAR of 12.90 percent. What is the APR? O a. 13.53 percent O b. 11.57 percent O c. 11.39 percent O d. 12.19 percent O e. 13.37 percent Next e to search 10 w M&M just signed a sales contract with a new customer. The company will receive the following annual payments at the end of Years 1 to 4: Year Cash Flow $65,000 1 2 3 $90,000 $70,000 4 $40,000 What is this contract worth at the end of Year 4 if the firm earns 5 percent on its savings? Answer: UBE The variables in the future value of a lump sum problem include the annuity payments. Select one: True O False
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