The Small Town Bank Wants to Appear Competitive Based on Quoted

question 286

Multiple Choice

The Small Town Bank wants to appear competitive based on quoted loan rates and thus must offer loans at an APR of 7.45%. What is the maximum rate the bank can actually earn based on the APR?

• A) 7.56%
• B) 7.58%
• C) 7.73%
• D) 7.91%
• E) 8.02%

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Definitions:

Self-Graphing

A self-assessment technique where individuals record and visually display data about their own behaviors over time.

Reactivity

The phenomenon where individuals alter their behavior or responses because they know they are being observed.

External Self-Reinforcement

A type of reinforcement paralleling that administered by a teacher. However, instead of the teacher delivering the reinforcer, the student performs this task.

Internal Reinforcement

The psychological process whereby an individual's intrinsic satisfaction from an activity encourages the continuation of that activity without external reward.