Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Oct 02, 2024

Crimini Foods is offered a $400,000 line of credit for six months at an APR of 10%. This loan has a loan origination fee of

Crimini Foods is offered a $400,000 line of credit for six months at an APR of 10%. This loan has a loan origination fee of 2%. What is the actual six-month interest rate paid, expressed as an EAR?

A) 14.80%

B) 11.03%

C) 7.14%

D) 10.60%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

Step: 3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Forex Trading

Authors: Paul Millis

1st Edition

979-8699265442

More Books

Students also viewed these Finance questions

Question

★★★★★

The compression curve for a certain clay is a straight line on the semilogarithmic plot, and it passes through the point e = 1.15, ' v = 65 kPa and e = 0.76, ' v = 825 kPa. Determine an equation for...

Answered: 1 week ago

Question

★★★★★

Repeat exercise 6, when there are 600 men in the class, and 400 women. (The separate averages and SDs for the men and women stay the same.) P-698

Answered: 1 week ago

Question

★★★★★

=+ Describe how the share of international production that is traded has

Answered: 1 week ago

Question

★★★★★

Toyota has decided to set up regional warehouses where some variants of the Scion will be customized and shipped to dealers on demand. Customizing and shipping on demand will raise production and...

Answered: 1 week ago

Question

★★★★★

Crimini Foods is offered a $400,000 line of credit for six months at an APR of 10%. This loan has a loan origination fee of 2%. What is the actual six-month interest rate paid, expressed as an EAR?...

Answered: 1 week ago

Question

★★★★★

Using the Big-Oh definition, prove that running time T(n)=n3+20n+1 is O(n3) and calculate the minimum value of c if n0=1

Answered: 1 week ago

Question

★★★★★

1. Find the derivative of each function: (a) f(x)=sin(ln(x)) (b) g(x) = cos(x + ex) tan(x) (c) h(x) = log15 (5x + x5)

Answered: 1 week ago

Question

★★★★★

Partners D, E and F share profits in the ratio of 5:3:2, During January, first installment of liquidation, D and E received P6,000 and P1,000 respectively. On the following month E received P6,000,...

Answered: 1 week ago

Question

★★★★★

Sue's Cupcakes hires your marketing firm to assist in determining which cupcakes were the top seller on National Cupcake Day last year. The results will help the company determine the top-selling...

Answered: 1 week ago

Question

★★★★★

Modeled after the two satellites problem (slide 12 in Lecture13, Universal gravity), imagine now if the period of the satellite is exact 46.91 hours, the earth mass is 5.98 x 1024 kg, and the radius...

Answered: 1 week ago

Question

★★★★★

1. A nurseis preparing to initiate IV therapy for an older adult client. Which of the following actions should the nurse plan to take ? a. Clean the site using vigorous friction b. Apply a tourniquet...

Answered: 1 week ago

Previous Question Next Question