Problem:
Slow Poke Corp. is known as a slow-payer (has low credit score/rating). The firm currently needs to borrow $68,000 and only one bank will deal with them. The terms of the loan call for daily payments of $78. The first payment is due today. The interest rate is 19 percent per annum, compounded daily.
Required:
Question 1: What is the time period (in years) of this loan? Assume each year is 365 days.
A. 2.25 years
B. 2.69 years
C. 3.18 years
D. 3.46 years
E. 4.12 years
Note: Please answer in proper manner and show all computations