You were offered either a simple interest note or a simple discount note with the following terms: $37,703 at 8% for 12 months. a. Calculate the effective interest rate. (Do not round intermediate calculations. Round your final answer to the nearest tenth percent.)   b. Based on the effective interest rate, which would you choose?  Simple discount note or simple interest note

You have just received an offer from a bank for a credit card with a quoted rate, or APR, of 18 percent compounded monthly. What is the EAR, or effective annual rate, on the credit card?

If you sign a discount note for $7,500 at a bank discount rate of 5% for 3 months, what is the effective interest rate? Round to the nearest tenth percent. Step 1 The effective interest rate is the actual interest rate charged on a discounted note and takes into account the fact that the borrower does not receive the full amount of the principal. It is calculated using the bank discount, the proceeds, and time. The bank discount is calculated as follows where the discount rate is given as a decimal and the time will be a fraction whose numerator is the given amount of time in months and denominator is 12 months. bank discount = face value ✕ discount rate ✕ time The rate was given to be 5%. As a decimal, we have  . Calculate the bank discount (in $) for the $7,500 promissory note at a discount of 5% for 3 months. bank discount  =  face value ✕ discount rate ✕  amount of time in months 12 months      =  $7,500 ✕  ✕  3 12      =  $

You expect to have the given amount in an account with the given terms. Find how much you can withdraw periodically in order to make the account last the specified amount of time. Round your answer to the nearest cent. Account balance: $600,000 Interest rate: 4.85% Frequency:monthly Time: 17 years

Examine the points versus no points chart to respond to the following query: Determine the percentage that the total interest paid will drop from buying no points to three points. To the closest hundredth, round the final response.

If you withdraw part of your money from a certificate of deposit before the date of maturity, you must pay an interest penalty. Suppose you invested $7000 in a one-year certificate of deposit paying 8.1% interest. After 6 months, you decide to withdraw $7000. Your interest penalty is 3 months simple interest on the $7000. What interest penalty do you pay? (Round your answer to two decimal places)

A man has a simple discount note for $6,300, at an ordinary bank discount rate of 8.61%, for 40 days. What is the effective interest rate? Round to the nearest tenth of a percent. The effective interest rate is %. Round to the nearest tenth of a percent as needed.) m

Pay it back Credit is a payday loan company that offers quick, short term loans using the borrower's future paychecks as collateral. Pay it back Credit charges $28 for each $100 loaned for a term of 21 days. Find the APR charged by Pay it back. Round your answer to the nearest hundredth of a percent.

What does​ "2/10" mean, with respect to​ "credit terms of​ 2/10, n/30"?         A. A discount of 2 percent will be allowed if the invoice is paid within 10 days of the invoice date.   B. Interest of 2 percent will be charged if the invoice is paid after 10 days from the date on the invoice.   C. A discount of 10 percent will be allowed if the invoice is paid within two days of the invoice date.   D. Interest of 10 percent will be charged if invoice is paid after two days.

Big Dom’s Pawn Shop charges an interest rate of 26.8 percent per month on loans to its customers. Like all lenders, Big Dom must report an APR to consumers.      a. What rate should the shop report? (Do not round intermediate calculations and enter your answer as a percent rounded to 1 decimal place, e.g., 32.1.) b. What is the effective annual rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)