Question
If you have a $91,538 line of credit at 5.7%, and the compensating balance fee is 9%, what is the effective annual interest rate if
If you have a $91,538 line of credit at 5.7%, and the compensating balance fee is 9%, what is the effective annual interest rate if your average daily balance is $68,747?
Remember to express your answer in decimal format, not as a percentage. Therefore, if your answer is 7.65%, you should enter in 0.0765 with four significant digits after the decimal.
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Business Analysis And Valuation Using Financial Statements
Authors: Krishna G Palepu, Paul M Healy
4th Edition
032430286X, 9780324302868
