What Simple Interest Rate Was Used to Discount 270-Day, $750,000

question 19

Multiple Choice

What simple interest rate was used to discount 270-day, $750,000 commercial paper when it was issued for $710,000?

• A) 7.21%
• B) 7.62%
• C) 5.33%
• D) 6.63%
• E) 6.94%

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