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(Floating-rate loans)
The Bensington Glass Company entered into a loan agreement with the? firm's bank to finance the? firm's working capital. The loan called for a floating rate that was 26 basis points ?(0.26 ?percent) over an index based on LIBOR. In? addition, the loan adjusted weekly based on the closing value of the index for the previous week and had a maximum annual rate of 2.15 percent and a minimum of 1.77 percent.
Calculate the rate of interest for weeks 2 through 10.
Week 2 1.67%
Week 3 1.52%
Week 4 1.29%
Week 5 1.64%
Week 6 1.64%
Week 7 1.66%
Week 8 1.87%
Week 9 1.93%
Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..
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