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Compensating balance example Bruce Bank loans Marlin Company $1,000,000 for one year at 8% interest. The bank also requires Marlin to keep 10% of the
Compensating balance example Bruce Bank loans Marlin Company $1,000,000 for one year at 8% interest. The bank also requires Marlin to keep 10% of the loan on deposit as security. What is the effective interest rate for the loan
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