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The treasurer for the Macon Blue Sox baseball team is seeking a $29,400 loan for one year from the 4th National Bank of Macon. The stated interest rate is 20 percent, and there is a 21 percent compens

The treasurer for the Macon Blue Sox baseball team is seeking a $29,400 loan for one year from the 4th National Bank of Macon. The stated interest rate is 20 percent, and there is a 21 percent compensating balance requirement. The treasurer always keeps a minimum of $1,960 in the baseball team's checking accounts. These funds count toward meeting any compensating balance requirements. What will be the effective rate of interest on this loan? (Use a 360-day year. Input your answer as a percent rounded to 2 decimal places.) Effective rate of interest %

Apr 14 2021 View more View Less

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