Solved: What is the effective annual interest rate, Financial Accounting

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What is the effective annual interest rate

Response to the following problem:

The Bert and Ernie Bathtub Company is planning to finance a new truck with a loan of $20,000. This loan requires the company to pay five end-of-year-installments of $5,276 each. What is the effective annual interest rate that the company is paying for its new truck financing?

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Financial Accounting: What is the effective annual interest rate

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