A) Find the finance charge           B) Estimate the annual percentage rate. Round to the nearest tenth of a percent.

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 15P
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Your refrigerator dies!  You go to purchase a new refrigerator and the sale price is $675. You pay 20% down and agree to repay the balance in 12 equal monthly payments. The finance charge on the balance is 9% simple interest.

 

A) Find the finance charge

 

 

 

 

 

B) Estimate the annual percentage rate. Round to the nearest tenth of a percent.

 

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