Question
ISBC Bank wants to earn an effective annual return (EAR) on its consumer loans of 13.90% per year. The bank uses daily compounding on its
ISBC Bank wants to earn an effective annual return (EAR) on its consumer loans of 13.90% per year. The bank uses daily compounding on its loans. The interest rate that the bank is required by law to report is the ______ of ______. Select one: a. APR; 13.90% b. EAR; 13.02% c. EAR; 13.90% d. APR; 13.02% e. None of the other answer choices is correct.
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Corporate Finance Theory And Practice
Authors: Aswath Damodaran
2nd Edition
0471283320, 9780471283324
