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Youve worked out a line of credit arrangement that allows you to borrow up to $50 million at any time. The interest rate is .46

Youve worked out a line of credit arrangement that allows you to borrow up to $50 million at any time. The interest rate is .46 percent per month. In addition, 6 percent of the amount that you borrow must be deposited in a non-interest-bearing account. Assume that your bank uses compound interest on its line of credit loans.

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