Multiple Choice
If you borrow R2,000 from a bank for one year at a stated annual interest rate of 14 percent, but interest is prepaid (a discounted loan) , then what is your effective annual rate?
A) 14.00%
B) 8.57%
C) 16.28%
D) 21.21%
E) 28.00%
Correct Answer:
Verified
Correct Answer:
Verified
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