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Example 12: Assume your student loans charge you an APR of 5.3%, compounded monthly. You have $20,000 in total debt and are offered a chance

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Example 12: Assume your student loans charge you an APR of 5.3%, compounded monthly. You have $20,000 in total debt and are offered a chance to refinance. The offer is for 5.4% APR, compounded annually and there are no fees involved. Should your refinance? In general, what can we say about the relationship between compounding frequency and the EAR

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