Ricky Ripov's Pawn Shop charges an interest rate of 13.7 percent per month on loans to its

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Ricky Ripov's Pawn Shop charges an interest rate of 13.7 percent per month on loans to its customers. Like all lenders. Ricky must report an APR to consumers. What rate should the shop report? What is the effective annual rate?

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Essentials of Corporate Finance

ISBN: 978-1259277214

9th edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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Question Posted: Jun 30, 2016 09:32 AM

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Ricky Ripov's Pawn Shop charges an interest rate of 13.7 percent per month on loans to its

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APR is the annual percentage rate It is simply calculated based on the annual rate Annual nominal ra...View the full answer

Essentials of Corporate Finance

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