Question
Cliff Capital Corporation (CCC) is taking out a new 2-year bank loan for $100,000 at 6% interest (APR monthly compounding). The bank charges 1% closing
Cliff Capital Corporation (CCC) is taking out a new 2-year bank loan for $100,000 at 6% interest (APR monthly compounding). The bank charges 1% closing fees on the loan. If CCC pays off the loan in equal monthly installments, then what is the effective annual interest rate of this loan?
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Public Finance
Authors: Richard W. Tresch
2nd Edition
0126990514, 978-0126990515
