Answered: A financing company charges 1.5% every…

A financing company charges 1.5% every two months on a loan. Find the equivalent effective rate of interest. 11.34% 12.34% 10.34% 9.34%

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 21MC: A customer takes out a loan of $130,000 on January 1, with a maturity date of 36 months, and an...

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A financing company charges 1.5% every two months on a loan. Find the equivalent effective rate of interest.
11.34%
12.34%
10.34%
9.34%

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