Determine the effective annual interest rate on a $100,000 short-term loan, with a term of 245 days

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Determine the effective annual interest rate on a $100,000 short-term loan, with a term of 245 days and a nominal interest rate of 8%. The bank discounts the interest.

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Construction accounting and financial management

ISBN: 978-0135017111

2nd Edition

Authors: Steven j. Peterson

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Question Posted: Mar 27, 2013 06:55 AM

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Determine the effective annual interest rate on a $100,000 short-term loan, with a term of 245 days

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Using Eq 162 we get the following I P i D 365 10000000008245365 536986 Find ...View the full answer

Construction accounting and financial management

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