What is the nominal rate of interest

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A new 65 inch television sells for $1,500 and can be purchased for a down payment of $500 with additional monthly payments in the amount of $45.70 paid at the end of every month for 24 months.

a. Draw the cash flow diagram.

b. What is the nominal rate of interest?

c. What is the effective rate of interest?

d. What amount remains to be paid off of the loan after the 20th payment is made?

Reference no: EM131012024

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