Multiple Choice
Suppose your credit card issuer states that it charges a 23.75% nominal annual rate,but you must make monthly payments,which amounts to monthly compounding.What is the effective annual rate?
A) 28.90%
B) 30.23%
C) 26.51%
D) 26.78%
E) 28.37%
Correct Answer:
Verified
Correct Answer:
Verified
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