What is the effective annual rate

Reference no: EM13155318

Suppose your credit card issuer states that it charges a 8.50% nominal annual rate, but you must make monthly payments, which amounts to monthly compounding. What is the effective annual rate?

Reference no: EM13155318

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What is the effective annual rate : Suppose your credit card issuer states that it charges a 8.50% nominal annual rate, but you must make monthly payments, which amounts to monthly compounding. What is the effective annual rate?

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