You just bought a car on credit for $22,000 and the terms of the loan are: 2-year car loan for with bi-monthly (end of every 2 month) payments of $2,080.31 What is the Effective Annual interest Rate (EAR) of this loan?

Question 17 options:

1)

2%

2)

24%

3)

12%

4)

12.62%