# Question: You can borrow 5 000 for 60 days with an interest

You can borrow $5,000 for 60 days with an interest payment of $125.

What is the simple rate of interest? What is the compound rate of interest?

What is the simple rate of interest? What is the compound rate of interest?

## Answer to relevant Questions

A stock is currently selling for $45 a share. What is the gain or loss on the following transactions? a. You take a long position and the stock’s price declines to $41.50. b. You sell the stock short and the price declines ...Stella & Chloe, Inc. needs to borrow $2,000,000 for six months. It can sell 180-day commercial paper with a face value of $2,000,000 for $1,900,000 or borrow the money from a commercial bank at 10 percent. In both cases the ...If $1 million face amount of commercial paper (270-day paper) is sold for $982,500, what is the simple rate of interest being paid? What is the compound annual rate? What are the repayment schedules for each of the following five-year, 10 percent $10,000 term loans? a. equal annual payments that amortize (retire) the principal and pay the interest owed on the declining balance b. equal ...The price of a stock is $61, and a six-month call with a strike price of $60 sells for $5. a. What is the option's intrinsic value? b. What is the option's time premium? c. If the price of the stock falls, what happens to ...Post your question