What Is the Effective Annual Rate If Your Credit Card

question 26

Multiple Choice

What is the effective annual rate if your credit card charges you 10.64 percent compounded daily? (Assume a 365-day year.)

• A)10.79 percent
• B)11.22 percent
• C)11.95 percent
• D)11.48 percent
• E)12.01 percent

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Definitions:

Financial Stability

The condition in which an individual or organization has sufficient resources to manage expenses and endure economic fluctuations.

Love

A complex set of emotions, behaviors, and beliefs associated with strong feelings of affection, protectiveness, warmth, and respect for another person.

Very Important

A term denoting something or someone of great significance or value.

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The responses or changes in electroencephalographic (EEG) patterns in the brain in response to stimuli or activities.