Use the Following Information to Answer the Question(s)below

question 13

Multiple Choice

Use the following information to answer the question(s) below.
Taggart Transcontinental needs a $100,000 loan for the next 30 days.Taggart has three alternatives available:
Alternative #1: Forgo the discount on its trade credit agreement that offers terms of 2/5 net 35.
Alternative #2: Borrow the money from Bank A,which has offered to lend the firm $100,000 for one month at
an APR of 9%.The bank will require a (no-interest) compensating balance of 10% of the face-value of the loan and will charge a $200 loan origination fee,which means that Taggart must borrow even more than the $100,000 they need.
Alternative #3: Borrow the money from Bank B,which has offered to lend the firm $100,000 for one month at an APR of 12%.The loan has a 1% origination fee.
-The effective annual rate for Taggart if they choose alternative #1 is closest to:

• A)13.9%.
• B)18.8%.
• C)27.0%.
• D)27.9%.

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Definitions:

Therapy Groups

Structured gatherings of individuals, typically facilitated by a therapist, aimed at addressing personal issues, psychological conditions, or providing support through group interaction.

Biomedical Therapies

Treatments for psychological disorders that involve altering brain functioning with chemical, surgical, or other physical interventions.

Behaviour Therapies

A range of therapeutic approaches that focus on changing maladaptive behaviors through principles of learning, such as reinforcement.

Psychological Disorders

Mental health conditions characterized by significant disturbances in an individual's thoughts, feelings, behaviors, or relationships.