Child's Orthodontist Offers You Two Alternative Payment Plans

question 93

Multiple Choice

child's orthodontist offers you two alternative payment plans.The first plan requires a $4,000 immediate up-front payment.The second plan requires you to make monthly payments of $137.41, payable at the end of each month for 3 years.What nominal annual interest rate is built into the monthly payment plan?

• A)12.31%
• B)12.96%
• C)13.64%
• D)14.36%
• E)15.08%

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Definitions:

Eric Foner

A distinguished historian specializing in the period of Reconstruction in the United States, emphasizing themes of democracy, freedom, and justice in his scholarship.

Globalization

The process by which businesses or other organizations develop international influence or start operating on an international scale, leading to the increased interconnectedness of the world's economies, cultures, and populations.

Microsoft

An American multinational technology company known for its software products, including the Windows operating system and Office suite, as well as hardware and cloud services.

WTO

The World Trade Organization, an international body that oversees global trade rules among nations, aiming to ensure trade flows as smoothly, predictably, and freely as possible.