Borrow the money from your parents who want an interest


You are considering two ways of financing a spring break vacation. You could put it on your credit card, at 16% APR, compounded monthly, or borrow the money from your parents, who want an interest payment of 7% every six months. Which is the lower rate? (Note: Be careful not to round any intermediate steps less than six decimal places.) The effective annual rate for your credit card is (Round to two decimal places.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Borrow the money from your parents who want an interest
Reference No:- TGS02293600

Expected delivery within 24 Hours