Ask a New Question

Question

Find rhe effective rate of interest on a 12,000, 120-day, 12% discounted.
8 years ago

Answers

Henry
I = Po*r*t.
I = 12,000*0.12*(120/360). = $480.


r = (I/Po) = 480/12,000 = 0.04 = 4% = effective interest rate.



8 years ago

Related Questions

Find the effective rate of interest for 5.25% compounded quarterly. I don't know how to solve thi... Find the effective rate of interest corresponding to a nominal rate of 6%/year compounded annually,... 9. FIND THE EFFECTIVE RATE THAT IS EQUIVALENT TO: i) 4 1/2 percent compounded semi annually ii... Find the effective rate of interest (APR) for a loan with a loan amount of $6,300, a time of 270 day... Find the effective rate of interest for 5% compounded monthly. Find the effective rate of interest corresponding to the nominal rate of 8% p.a. if it is conv... Find the effective rate of interest per annum equivalent to the nominal interest rate of 11% compoun... Find the effective rate of interest per annum equivalent to the nominal interest rate of 13.20% per... Find the effective rate of interest per annum equivalent to the nominal interest rate of 9.8% per an...
Ask a New Question
Archives Contact Us Privacy Policy Terms of Use