Effective annual return on its consumer loans

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Reference no: EM13889372

Magnus Credit Corp. wants to earn an effective annual return on its consumer loans of 15.5 percent per year. The bank uses daily compounding on its loans.

Required:

What interest rate is the bank required by law to report to potential borrowers?

Reference no: EM13889372

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Effective annual return on its consumer loans : Magnus Credit Corp. wants to earn an effective annual return on its consumer loans of 15.5 percent per year. The bank uses daily compounding on its loans. What interest rate is the bank required by law to report to potential borrowers?

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