Calculate effective annual interest rate
Problem:
Trying to find how to calculate the effective annual interest rate on the commercial paper when a business sold an issue of 30-day paper with a fact value of $5,000,000 and the frim received $4,958,000.
Now Priced at $20 (50% Discount)
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You invest $2,800 at a 6% annual interest rate, stated as an APR. Interest is compounded monthly. How much will you have in 1.0 year?
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Trying to find how to calculate the effective annual interest rate on the commercial paper
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