Question
You have just purchased a new warehouse. To finance the purchase, you've arranged for a 15-year quarterly mortgage loan for 80 percent of the $550,000
You have just purchased a new warehouse. To finance the purchase, you've arranged for a 15-year quarterly mortgage loan for 80 percent of the $550,000 purchase price. The quarterly payment on this loan will be $10,000.
What is the effective annual rate on this loan?
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Basic Finance An Introduction to Financial Institutions Investments and Management
Authors: Herbert B. Mayo
10th edition
1111820635, 978-1111820633
