Question
Evergreen Credit Corp. wants to earn an effective annual return on its consumer loans of 18.2 percent per year. The bank uses daily compounding on
| Evergreen Credit Corp. wants to earn an effective annual return on its consumer loans of 18.2 percent per year. The bank uses daily compounding on its loans. What interest rate is the bank required by law to report to potential borrowers? Effective Rate (EAR) : 18.20% Compounding Periods Per Year: 365 What is the Formula (In excel) and Answer for the Stated Rate (APR)? | |||
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Financial Institutions Management
Authors: Anthony Saunders
1st Edition
0256110565, 9780256110562
