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Copy of You have purchased a new computer for $1000. To finance the purchase, you've arranged for a loan from the bank that you paid

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Copy of You have purchased a new computer for $1000. To finance the purchase, you've arranged for a loan from the bank that you paid off after 18 months in one lump sum payment of $1207.5. Assume interest rates are compounded semiannually, what is the Effective annual rate (EAR) on the loan? 17.09% 11.51% 13.39% 10.24% 10.88%

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