Question: Hello, could someone help me solve this question, please? Thank you so much! Given the prime rate is 6%. If a borrower wants to obtain

Hello, could someone help me solve this question, please? Thank you so much!

Given the prime rate is 6%. If a borrower wants to obtain a floating rate loan, with a premium of 1%, what interest rate does the borrower has to pay?

1) 5%

2) 6%

3) 7%

4) None of the above.

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