You are in desperate need of cash and turn to your uncle, who has offered to lend you some money. You decide to borrow $1,360 and agree to pay back $1,590 in two years. What annual interest rate is your uncle charging you? (If you solve this problem with algebra round intermediate calculations to 4 decimal places, in all cases round your final answer to two decimal places, e.g. 8.72%.)
You are in desperate need of cash and turn to your uncle, who has offered to lend you some money. You decide to borrow $1,360 and agree to pay back $1,590 in two years. What annual interest rate is your uncle charging you? (If you solve this problem with algebra round intermediate calculations to 4 decimal places, in all cases round your final answer to two decimal places, e.g. 8.72%.)
Chapter16: Working Capital Policy And Short-term Financing
Section: Chapter Questions
Problem 14P
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You are in desperate need of cash and turn to your uncle, who has offered to lend you some money. You decide to borrow $1,360 and agree to pay back $1,590 in two years.
What annual interest rate is your uncle charging you? (If you solve this problem with algebra round intermediate calculations to 4 decimal places, in all cases round your final answer to two decimal places, e.g. 8.72%.)
| Rate of interest charged by uncle | enter Rate of interest charged by uncle % |
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