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Company ABC is offered a 1-year loan of $20,000 from Bank DEF. The nominal interest rate is 15% p.a. and interest is to be paid

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Company ABC is offered a 1-year loan of $20,000 from Bank DEF. The nominal interest rate is 15% p.a. and interest is to be paid at the beginning of the loan. The effective interest rate of the loan will be 17.65% p.a. The effective interest rate of the loan will be 15.00% p.a. There is insufficient information to determine the effective interest rate. The effective interest rate of the loan will be 13.04% p.a

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