Von Hayek's Kayaks Can Borrow $12,500 for 60 Days at a Cost

question 30

Multiple Choice

Von Hayek's Kayaks can borrow $12,500 for 60 days at a cost of $220 interest. What is the effective rate of interest?

• A)Less than 9.9%
• B)More than 9.9% but less than 10%
• C)More than 10.5% but less than 11.5%
• D)More than 11.5%