Roland Clark has a simple discount note for $6,500, at an ordinary bank discount rate of 8.74%,

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Roland Clark has a simple discount note for $6,500, at an ordinary bank discount rate of 8.74%, for 60 days. What is the effective interest rate? Round to the nearest tenth of a percent.
Discount Rate
Depending upon the context, the discount rate has two different definitions and usages. First, the discount rate refers to the interest rate charged to the commercial banks and other financial institutions for the loans they take from the Federal...
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Business Math

ISBN: 978-0133011203

10th edition

Authors: Cheryl Cleaves, Margie Hobbs, Jeffrey Noble

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