Which bank would you go to for new loan

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First National Bank charges 12 percent compounded monthly on its business loans. First United Bank charges 12.2 percent compounded semiannually. Calculate the EAR for each bank. (Enter rounded answers as directed, but do not use rounded numbers in intermediate calculations. Enter your answers as a percent rounded to 2 decimal places (e.g., 32.16).)

First National Bank EAR?

First United Bank EAR?

As a potential borrower, which bank would you go to for a new loan?

Reference no: EM131179029

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