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:

Historic Persecution

The systemic and prolonged mistreatment of an individual or group by another, often characterized by violence, oppression, and discrimination based on identity or beliefs.

Witches

Often portrayed as individuals, typically women, who practice witchcraft or magic, historically perceived in various cultures either as possessing supernatural powers or being in league with the devil.

Dominant Groups

Social or ethnic groups that hold significant power, influence, and privilege in society, often setting norms and standards for others to follow.

Functional Perspective

A theoretical framework in sociology that emphasizes the functions or purposes of various social structures and institutions in maintaining the stability and equilibrium of a society.