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Poe Company purchased equipment by paying $11,400 cash on the purchase date and agreeing to pay $4,400 every three months during the next five years.

Poe Company purchased equipment by paying $11,400 cash on the purchase date and agreeing to pay $4,400 every three months during the next five years.

If Poe records a liability of $79,401, what is the interest rate Poe is being charged (choose the answer closest to the number you calculate)?

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