Question
Suppose your credit card issuer states that it charges a 15.00% nominal annual rate, but you must make weekly payments, which amounts to weekly compounding.
Suppose your credit card issuer states that it charges a 15.00% nominal annual rate, but you must make weekly payments, which amounts to weekly compounding. What is the effective annual rate?
| 15.27% | ||
| 16.08% | ||
| 16.16% | ||
| 16.56% | ||
| 18.61% |
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Finance For Executives Managing For Value Creation
Authors: Gabriel Hawawini, Claude Viallet
6th Edition
1473749247, 9781473749245
