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Determine the effective annual rate on the loan

Problem:

You have just borrowed $30,000 to buy a new car. the loan agreement calls for 48 monthly payments of $704.55 each to begin on from today. if the interest is compounded then what is the effective annual rate (EAR) on this loan?

What formula is used for this question and how is it processed?

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Finance Basics: Determine the effective annual rate on the loan

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Finance Basics: Determine the effective annual rate on the loan

Reference No:- TGS02038919

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