Question: Problem 5.49 Effective Interest Rate (L04) A store will give you a 3.75% discount on the cost of your purchase if you pay cash today

Problem 5.49 Effective Interest Rate (L04) A store will give you a 3.75% discount on the cost of your purchase if you pay cash today Otherwise, you will be billed the full price with payment due in 1 month What is the implicit borrowing rate being paid by customers who choose to defer payment for the month? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Efective annual rate 96

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