Question: You borrow $ 1 0 , 0 0 0 from a bank for three years at an annual interest rate, or annual percentage rate (

You borrow $10,000 from a bank for three years at an annual interest rate, or annual percentage rate (APR), of 12%. Monthly payments will be made until all the principal and interest have been repaid. (4.14,4.15) b. If you must pay two points up front, meaning that you get only $9,800 from the bank, what is your true APR on the loan?

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