You plan to borrow $2000 to take a vacation and want to repay the loan in a year.The bank offers you a simple interest rate of 12% with repayment of principal in two equal installments, 6 months and 12 months from now. What is your total interest bill ? What is the APR ? Would you prefer an add-on interest rate with one payment at the end of the year ? If the bank applied the discount method to your loan, what are the net proceeds of the loan ? What is your effective rate of interest?