Question: 12. Problem 5.12 Click here to read the eBook: Finding the Interest Rate, I Click here to read the eBook: Comparing Interest Rates EFFECTIVE RATE

12. Problem 5.12

Click here to read the eBook: Finding the Interest Rate, I Click here to read the eBook: Comparing Interest Rates EFFECTIVE RATE OF INTEREST

Find the interest rates earned on each of the following. Round each answer to two decimal places.

You borrow $700 and promise to pay back $728 at the end of 1 year.

% You lend $700 and the borrower promises to pay you $728 at the end of 1 year.

% You borrow $78,000 and promise to pay back $137,463 at the end of 5 years.

% You borrow $20,000 and promise to make payments of $6,687.60 at the end of each year for 5 years.

%

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