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Voltex Corp, an auto parts supplier, is buying a heavy duty machine. To get a clear understanding of finance costs, Voltex management asked the engineer

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Voltex Corp, an auto parts supplier, is buying a heavy duty machine. To get a clear understanding of finance costs, Voltex management asked the engineer to determine the effective semiannual and annual interest rates for each bid from three vendors. The bids are as follows: Bid #1: 9.0% per year, compounded quarterly Bid # 2: 3.0% per quarter, compounded quarterly Bid #3: 8.8% per year, compounded monthly Which Plan has the lowest annual interest rate

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