What interest rate is the bank required by law

Assignment Help Finance Basics
Reference no: EM13266274

Barcain Credit Corp. wants to earn an effective annual return on its consumer loans of 11 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: EM13266274

Questions Cloud

What is the volume flow rate through the pipe : A 1.0-cm diameter pipe widens to 2.0 cm then narrows to 5.0 mm. Liquid flows though the first segment at a speed of 4.0 m/s. What is the speed of the liquid in the second and third segments of pipe
What is the present value : An investment will pay you $24,000 in 9 years. The appropriate discount rate is 9 percent compounded daily.
Find the radius of the exoplanets orbit : Astronomers discover an exoplanet (a planet of a star other than the Sun) that has an orbital period of 3.03 Earth years in its circular orbit around its sun, Find the radius of the exoplanet's orbit in meters
Evidenced based research on diabetes : Identify a research or evidence-based article that focuses comprehensively on a specific intervention or diagnostic tool for the treatment of diabetes in adults or children
What interest rate is the bank required by law : What interest rate is the bank required by law to report to potential borrowers?
Explain the heat of vaporization for butane : How much energy is required to vaporize 145g of butane at its boiling point? The heat of vaporization for butane is 23.1 kJ/mol
Is the kinetic energy of the plastic cart greater than cart : A 0.2 kg plastic cart and 20 kg lead cart both roll without friction on a horizontal surface. Equal forces are used to push both carts forward a distance of 1 m, starting from rest. Is the kinetic energy of the plastic cart greater than, less than..
What is the net force acting on the woman : a 66.0-kg woman in an elevator is accelerating upward at a rate of 2.8m/s^2. What is the net force acting on the woman
How fast have an angular momentum spin : How fast, in rpm, would a 100 g, 50-cm diameter beach ball have to spin to have an angular momentum of 0.10 kg m^2/s

Reviews

Write a Review

Finance Basics Questions & Answers

  Calculate target fixed assets or sales ratio

Carter Company's sales are expected to increase from $5 million in problems 2008 to $6 million in 2009, or by 20 percent. Its assets totaled $3 million at the end of 2008.

  Calculate profitability index for project a and project b

Calculate the profitability index for Project A and Project B. Which project is better?

  Computation of breakeven volume in units

Computation of breakeven volume in units and in dollar sales and breakeven chart and Determine the breakeven volume in units and in dollar sales

  What is the required return on starbucks debt

Also assume that CAPM holds and that the risk-free rate is 4% and the market risk premium is 8%. Suppose Starbucks' weighted average cost of capital is 10.6%. What is the required return on Starbucks' debt?

  Impact of accounting for operating leases

Issuance of SI par value common stock at an amount greater than par value and donation of land by a governmental unit to a corporation

  What will be the rate of return on the bond

A 2-year maturity bond with face value of $1,000 makes annual coupon payments of $114 and is selling at face value. What will be the rate of return on the bond if its yield to maturity at the end of the year is.

  Global monetary and financial system

How do you define the global monetary and financial system? What are the international and regional institutions that comprise the system?

  Pmt and nper functions in excel

At each question the solution cell must contain the Excel formula (Function) that produced the answer. Replace the existing numerical contents. Also add a brief explanation of how the answer was derived and the significance of the question in unde..

  Computing future value of annuity over time

If you can earn eight percent per year on your retirement account, how much will you have to save each year if you want to retire in 20 years with $1 million?

  Discuss contingencies

Discuss contingencies and how they are reported on financial statements. What conditions must be met before a contingency can be charged against income?

  Determine the breakpoint where new stock issued

Suppose your company is expected to earn $4.0 million in net income next year of which it will pay out 40% in dividends. If equity represents 50 percent of your capital,

  Journal entries to record depreciation of truck

Journal entries to record depreciation where the life of the truck is not extend and Prepare the journal entries to record the cost of the upgrade

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd