Find out the loan effective annual rate
Problem:
A loan is offered with monthly payments and a 10% APR.
Requirement:
Question: What's the loan's effective annual rate (EaR)?
Note: Please show basic calculation.
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Question: What is the expected return on this portfolio? Note: Be sure to show how you arrived at your answer.
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Question: What is the amount of the initial outlay? Note: Please provide through step by step calculations.
Question: What's the loan's effective annual rate (EaR)? Note: Please show basic calculation.
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