Question
Pipeline Pharmaceuticals has a one-year $2 million line of credit at an interest rate of 5% (EAR). The loan has an origination fee of 2%.
Pipeline Pharmaceuticals has a one-year $2 million line of credit at an interest rate of 5% (EAR). The loan has an origination fee of 2%. What is the actual interest rate paid?
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Get StartedRecommended Textbook for
Intermediate Financial Management
Authors: Brigham, Daves
10th Edition
978-1439051764, 1111783659, 9780324594690, 1439051763, 9781111783655, 324594690, 978-1111021573
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