Question

(Floating-rate loans)  The Bensington Glass Company entered into a loan agreement with the​ firm's bank to finance the​ firm's working capital. The loan called for a floating rate that was 25 basis points ​(0.25 ​percent) over an index based on LIBOR. In​ addition, the loan adjusted weekly based on the closing value of the index for the previous week and had a maximum annual rate of 2.23 percent and a minimum of 1.71 percent. Calculate the rate of interest for weeks 2 through 10. (Round to two decimal places)

Date	LIBOR
Week 1	1.981.98​%
Week 2	1.641.64​%
Week 3	1.541.54​%
Week 4	1.311.31​%
Week 5	1.571.57​%
Week 6	1.691.69​%
Week 7	1.661.66​%
Week 8	1.941.94​%
Week 9	1.921.92​%

The rate of interest for week 2 is? (round to two decimal places)

The rate of interest for week 3 is? (round to two decimal places)

The rate of interest for week 4 is? (round to two decimal places)

The rate of interest for week 5 is? (round to two decimal places)

The rate of interest for week 6 is? (round to two decimal places)

The rate of interest for week 7 is? (round to two decimal places)

The rate of interest for week 8 is? (round to two decimal places)

The rate of interest for week 9 is? (round to two decimal places)

The rate of interest for week 10 is? (round to two decimal places)

Answer 1

=MAX(1.71%,MIN(r+0.25%,2.23%))

1.

=2.23%

2.

=1.89%

3.

=1.79%

4.

=1.71%

5.

=1.82%

6.

=1.92%

7.

=1.91%

8.

=2.19%

9.

=2.17%