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An equipment can be purchased at $3,500 by cash, or through a payment plan that requires an initial down payment of $1,200, and 24 end-of-month

An equipment can be purchased at $3,500 by cash, or through a payment plan that requires an initial down payment of $1,200, and 24 end-of-month payments of $110. At what effective interest rate are these terms equivalent?

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