A man has a simple discount note for $6,100, at an ordinary bank discount rate of 8.53%, for 60 days. What is the effective interest rate? Roundthe nearest tenth of a percent. (Use the banker's rule.)The effective interest rate is%.(Round to the nearest tenth of a percent as needed.)...

Discount rate is 8.53% Time period 60 days Face value of note is $6,100 To Find: Effective interest…

Answered: A man has a simple discount note for…

A man has a simple discount note for $6,100, at an ordinary bank discount rate of 8.53%, for 60 days. What is the effective interest rate? the nearest tenth of a percent. (Use the banker's rule.)

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Solve the problem below. 2. Suppose that your bank has a minimum loan charge of $48 when you borrow at 6% ordinary interest for 90 days. What principal borrowed will result in a $48 interest charge?
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Jeff Rakhnovich has a simple discount note for $35,000 at an ordinary bank discount rate of 7%, for 60 days. What is the APR? Round to the nearest hundredth of a percent. Show all your work in a neat and organized format. The true rate of interest that you pay on a loan is called the..?
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