For services rendered, an attorney accepts a 90-day note for $4,400 at 9% simple interest from a client. (Both interest and principal are repaid at the end of 90 days.) Wishing to use her money sooner, the attorney sells the note to a third party for $4,450 after 60 days. What annual interest rate will the third party receive for the investment? The third party will receive an annual interest rate of %???? (Type an integer or decimal rounded to two decimal places as needed.)
For services rendered, an attorney accepts a 90-day note for $4,400 at 9% simple interest from a client. (Both interest and principal are repaid at the end of 90 days.) Wishing to use her money sooner, the attorney sells the note to a third party for $4,450 after 60 days. What annual interest rate will the third party receive for the investment? The third party will receive an annual interest rate of %???? (Type an integer or decimal rounded to two decimal places as needed.)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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For services rendered, an attorney accepts a 90-day note for $4,400 at 9% simple interest from a client. (Both interest and principal are repaid at the end of 90 days.) Wishing to use her money sooner, the attorney sells the note to a third party for $4,450 after 60 days. What annual interest rate will the third party receive for the investment?
The third party will receive an annual interest rate of %????
(Type an integer or decimal rounded to two decimal places as needed.)
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- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism.
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