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Riverside Bank offers to lend you $50,000 at a nominal rate of 8.5%, compounded monthly. The loan ( principle plus interest) must be repaid at

Riverside Bank offers to lend you $50,000 at a nominal rate of 8.5%, compounded monthly. The loan ( principle plus interest) must be repaid at the end of the year. Midwest Bank also offers to lend you the $50,000, but it will charge a rate of 9.0% compounded quarterly. How much higher or lower is the periodic rate charged by Midwest versus the rate charged by Riverside?

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