At the Central Furniture Company, customers purchase on credit pay an effective annual interest rate of 16.1%,

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At the Central Furniture Company, customers purchase on credit pay an effective annual interest rate of 16.1%, based on monthly compounding. What is the nominal annual interest rate that they pay?

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Engineering Economics

ISBN: 9780195168075

9th Edition

Authors: Ted G. Feller

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Question Posted: Mar 01, 2010 04:17 AM

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At the Central Furniture Company, customers purchase on credit pay an effective annual interest rate of 16.1%,

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