What Is the EAR for a $100 Loan When the Interest

question 67

Multiple Choice

What is the EAR for a $100 loan when the interest is compounded daily and the stated annual interest rate is 6.00 percent?

• A)6.00 percent
• B)6.39 percent
• C)6.18 percent
• D)7.52 percent
• E)8.21 percent

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Definitions:

Universal

A term referring to concepts, properties, or statements that apply universally, without exceptions.

Particular

In philosophy, an individual object as opposed to a universal quality; distinguished from general or universal by being specific or detailed.

Traditional Square

A diagram in classical logic illustrating the logical relationships among the four types of categorical propositions.

O Proposition

A type of categorical proposition that is a statement in the form "Some S are not P," where S is the subject and P is the predicate.