You want to buy a house, and a local bank will lend you $100,000. The loan will be fully amortized over 20 years (240 months), and the nominal interest rate will be 0.1300 with interest paid monthly.

What will be the loan's EAR?

Question 15 (1 point) You want to buy a house, and a local bank will lend you $100,000. The loan will be fully amortized over 20 years (240 months), and the nominal interest rate will be 0.1300 with interest paid monthly. What will be the loan's EAR? (Answer in decimal form to the nearest basis point. That is, 1/100th of a percent, or to four decimal places. Six and one-half percent will be entered as 0.0650) Your Answer: Answer Page 8 of 8 Previous Page Next Page