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Do Not Use the APR Formula for This Problem

question 43

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Do not use the APR formula for this problem.Coverall Carpets Inc.is planning to borrow $12,000 from the bank.The bank offers the choice of a 12 percent discounted interest loan or a 10.19 percent add-on,one-year installment loan,payable in 4 equal quarterly payments.What is the effective rate of interest on the 10.19 percent add-on loan?


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Middle 95%

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An individual enrolled in an institution of higher education to pursue an academic degree or certificate.

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