Question
a. What interest rate would make it worthwhile to incur a compensating balance of $22,000 in order to get a 1 percent lower interest rate
| a. | What interest rate would make it worthwhile to incur a compensating balance of $22,000 in order to get a 1 percent lower interest rate on a 1 year, pure discount loan of $285,000? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your final answer to 2 decimal places.) |
| Interest rate | % |
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Handbook Of Asian Finance Financial Markets And Sovereign Wealth Funds
Authors: David Lee, Greg N. Gregoriou
1st Edition
0128009829, 978-0128009826
