Chadron Motors has net income of $128,470. There are currently 32.67 days' sales in receivables. Total assets are $1,334,258, total receivables are $122,306, and the debt-equity ratio is .40. What is the return on equity?

• A. 12.67 percent
• B. 13.09 percent
• C. 15.03 percent
• D. 13.48 percent
• E. 11.42 percent

You want to borrow $38,400 and can afford monthly payments of $950 for 48 months, but no more. Assume monthly compounding. What is the highest APR rate you can afford?

• A. 8.82 percent
• B. 9.24 percent
• C. 9.18 percent
• D. 8.69 percent
• E. 9.01 percent