Your bank will lend you $2,000 for 60 days at a cost of $35 interest. What...

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business finance

Answer 1

Answer #1

Interest rate for 60 Days	1.75%	=35/2000
Effective annual interest rate	110.97%	=(1+1.75%)^(360/60)

Interest rate for 10 Days	0.50%	=10/2000
Effective annual interest rate	119.67%	=(1+0.5%)^(360/10)

Answer 2

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